UBSFY - Why Are Health Insurance Stocks HUM UNH CI Down Today?
2024-04-02 10:29:32 ET
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Health insurance stocks are falling on Tuesday after President Joe Biden’s administration announced that it won’t increase Medicare Advantage rates for 2025.
This comes as a surprise to health insurance companies, as the government typically increases its rates compared to its initial proposals. In fact, only once in the last decade has it not done so.
That’s bad news for health insurance stocks as it means the companies behind them will be covering more costs. This comes at a time when increased inflation and interest rates are causing medical prices to rise as well.
These increasing costs come alongside patients making more use of their insurance than expected. This has even led to talks of a merger between two major players in the space. However, those discussions broke down over concerns about the Federal Trade Commission blocking the combination.
Let’s check out how this news is affecting health insurance stocks below!
Health Insurance Stocks Down Today
- Humana (NYSE: HUM ) stock is down 13.8% as of Tuesday morning.
- UnitedHealth (NYSE: UNH ) stock is falling 6.1% as of this writing.
- Cigna (NYSE: CI ) stock is decreasing less than 1% today alongside the news.
Investors who are seeking out even more of the most recent stock market stories are going to want to stick around!
We are offering up insight into all of the biggest stock market news worth reading about on Tuesday! That includes a new round of Ubisoft (OTCMKTS: UBSFY ) layoffs, Canoo (NASDAQ: GOEV ) expansion plans and what has Gritstone Bio (NASDAQ: GRTS ) stock falling today. You can catch up on all of these matters at the following links!
More Stock Market News for Tuesday
- Ubisoft Layoffs 2024: What to Know About the Latest Round of Ubisoft Job Cuts
- GOEV Stock Alert: Canoo Announces Expansion Into Saudi Arabia
- Why Is Gritstone Bio (GRTS) Stock Down 44% Today?
On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines .
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