Health Insurer Stocks Slide on President Trump's Call to Change ACA Payments

Core Insights - President Donald Trump's comments regarding federal health care funding have led to a decline in shares of health insurers, suggesting a potential shift in the Affordable Care Act (ACA) funding structure [1][4]. Group 1: Market Reaction - Centene (CNC), HCA Healthcare (HCA), and Molina Healthcare (MOH) experienced significant stock declines, with Centene down over 8%, Molina nearly 7%, and HCA dropping 5% [5]. - Other health insurers, including United Health Group (UNH) and Cigna Group (CI), also saw their shares fall following Trump's remarks [5]. Group 2: Policy Implications - Trump proposed that federal health care funds should be redirected to individuals rather than insurers, which could fundamentally alter the ACA marketplace [2]. - The Committee for a Responsible Federal Budget estimated that federal subsidies to insurance companies this year amount to $138 billion, a substantial increase from $53 billion in 2020 [2][4].