Morning Briefing
Summaries of health policy coverage from major news organizations
Senators Begin Inquiry Into Insurers Over ACA Coverage Termination For 760,000
Becker's Hospital Review: Senators Probe 10 Insurers Over Role In Terminating ACA Coverage For 760,000 People
Thirteen Senate Democrats are demanding answers from the largest ACA marketplace insurers about their involvement in recent coverage terminations that cut more than 760,000 people from their health plans. The Oct. 26 letters, led by Sen. Ron Wyden, D-Ore., and Sen. Bernie Sanders, I-Vt., accuse the insurers of “quietly colluding” with the Trump administration on what the lawmakers said was an improper process to terminate qualified enrollees without sufficient notice or compliance with consumer protections. (Emerson, 10/27)
The Washington Post: Here’s How To Avoid Losing Your Affordable Care Act Subsidy
Older adults not yet eligible for Medicare could be the most affected, particularly if they are self-employed or ineligible for workplace plans. Some in this group could face annual premiums of more than $20,000. (Csiszar, 10/28)
More on the high cost of healthcare —
Modern Healthcare: Health Systems Turn To Enfra Energy Contracts To Cut Costs
More health systems are contracting with energy companies to upgrade power infrastructure, cut capital costs and focus on their core business. Health systems are outsourcing management and upkeep of the power systems that keep their facilities running. So-called energy-as-a-service agreements help fund infrastructure improvements and aim to reduce energy usage, which can allow providers to focus more resources on patient care while decreasing expenses without taking on debt. (Kacik, 10/27)
Keene Sentinel: Humana, Dartmouth Health Look To Hash Out Medicare Advantage Agreement
Cheshire County's only hospital is out of network for the county's sole Medicare Advantage plan in 2027, but that may change. Humana, the only Medicare Advantage insurer in Cheshire County, has one plan that as of Friday afternoon did not include Cheshire Medical Center in Keene or Dartmouth Hitchcock Medical Center in Lebanon in its network, according to the federal Medicare.gov, which compares coverage options for Medicare. (Engel, 10/27)
Modern Healthcare: HCA Healthcare Earnings: ACA Exchange Losses Near $1B
HCA Healthcare took another $400 million hit to pretax earnings in the third quarter as uninsured volumes rise. Nashville, Tennessee-based HCA said the impact primarily stemmed from patients dropping coverage under Affordable Care Act exchange plans and becoming uninsured. Exchange volumes dropped a higher-than-expected 19% in the quarter, Chief Financial Officer Mike Marks said on the company’s third-quarter earnings call Tuesday. (Hudson, 10/27)
Modern Healthcare: Centene Q3 Earnings: Medicare Advantage Recovery Ahead Of Schedule
Centene’s Medicare Advantage recovery is a year ahead of schedule, CEO Sarah London said Tuesday. The health insurance company plans to break even in Medicare Advantage in 2026 after medical costs came in lower than expected, London told investor analysts during the company’s third-quarter earnings call. The insurer has been working to restore Medicare Advantage margins for two years and previously targeted break-even in 2027. “We feel good that we have constructed a strategy to get to a footprint that will allow us to not just be profitable in 2027, but in 2028 as well and beyond,” London said. (Tepper, 10/27)
Also —
Bloomberg: S&P 500 Healthcare Index Rises 23% As Traders Seek Safety From AI Volatility
With investor confidence in the artificial intelligence trade under pressure, traders are turning to healthcare stocks for refuge. Since the end of April, the S&P 500 Healthcare Index has risen about 23% through Monday’s close — outperforming the broader market and every other sector. That includes high-flying technology names and surging energy stocks that have benefited from the ongoing Iran War. Healthcare’s rally has been led by Eli Lilly & Co., AbbVie Inc. and Johnson & Johnson. (Leon and Adegbesan, 10/27)
