Healthcare Innovation July 30, 2025
UnitedHealth Group leaders have lowered their outlook and say 2027 will be key to returning to historical profit margins
Rising Medicare Advantage costs that have put pressure on several big-name insurance companies this year are likely to climb another 10 percent in 2026, executives of UnitedHealth Group Inc. said on July 29.
Speaking after they reported United’s second-quarter results, CEO Stephen Hemsley and other executives said the finances of their insurance operations have been disrupted by what UnitedHealthcare CEO Tim Noel called “a marked increase in health care cost due in part to increases in service intensity per encounter.” The United team had forecasted that Medicare Advantage medical costs would rise a little more than 5 percent this year when...
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