US health insurers fall as Medicare Advantage proposal disappoints

Molina Healthcare

27/01/2026 16:04

Updates

** Shares of U.S. health insurers slide in premarket trading after the Trump administration proposed a minimal 0.09% increase in 2027 Medicare Advantage payments

** Shares of Medicare-focused insurer Humana HUM.N fall 19%, UnitedHealth Group UNH.N down 18.8%, CVS Health CVS.N slip 11%

** Elevance Health ELV.N drops 12%, Molina Healthcare MOH.N falls 5.2%, Centene CNC.N dips 12%, Cigna CI.N down 2.4%

** The Medicare agency will issue the final rate announcement on April 6

** "Generally, the proposed update is better in the final, certainly some politics could be at play, but this update falls well below expectations," said Leerink Partners analyst Whit Mayo

** Analysts had been expecting an increase of as much as 6%

** More than half of the people enrolled in the government's Medicare program for people aged 65 and older or who are disabled receive their coverage through Medicare Advantage plans

** Shares of HUM up ~1%, UNH down ~35%, CVS up ~77%, ELV down ~5%, MOH down ~40%, CNC down ~32%, CI down 0.33%; in 2025

 (Reporting by Joel Jose, Kamal Choudhury and Sahil Pandey in Bengaluru)

 ((mail to: Joeljose@thomsonreuters.com))