Major health insurers started 2026 with better-than-expected financial performances, a signal that the companies are managing Americans’ medical costs better than they did last year. The outperformance comes after insurers for much of the past year heavily lobbied Congress to extend enhanced Obamacare subsidies, warning that the lapse of those subsidies would hit their bottom lines as millions dropped off coverage. In earnings calls last year, insurance executives repeatedly noted medical costs were higher than expected across markets and warned that federal policy changes — such as the subsidies’ expiration, Medicaid cuts and low Medicare Advantage pay rates — would make matters worse. So far this year, insurers appear to be handling the pressures well.
Read the full article: Insurers’ Bright Start to 2026 //
Source: https://www.politico.com/newsletters/politico-pulse/2026/05/07/insurers-bright-start-to-2026-00908813