Behavioral Health Business October 29, 2025
Centene Corp. (NYSE: CNC) reported progress on tamping down what it sees as problematic spending on behavioral health, namely applied behavior analysis (ABA).
However, the managed care titan reports that it still has work to do to get its Medicaid spending back in line with previous expectations. Centene CEO Sarah London said on the company’s third-quarter earnings call that Medicaid margins are still challenged, with behavioral health driving 50% of the “above-baseline trend.”
“We continue to aggressively pull levers internally to appropriately manage medical costs and advocate for rates that reflect the medical demand in the ecosystem, all part of returning Medicaid margins to a more normalized long-term levels,” London said during the call.
Additional drivers of Medicaid costs include...
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