Who Is Making More Money During The Pandemic?
Earning reports from publicly traded companies reveal the pandemic's uneven effect on insurance, health care and health tech companies.
The Wall Street Journal:
Insurers Report Mixed Results From Covid-19
Two giant sellers of insurance to consumers— Allstate Corp. and Prudential Financial Inc.—reported second-quarter results that reflected the far-ranging impact of Covid-19. Allstate’s profit surged from fewer vehicle accidents on the road while ultralow interest rates weighed on Prudential. The two insurers’ results show the first full quarter of the coronavirus’ unprecedented toll on the U.S. economy. Across all U.S. life and property-casualty insurers, analysts and investors’ focus has been on the costs that insurers are bearing—and the unexpected benefits some have enjoyed-as business activity slowed under government shutdown directives. (Scism, 8/4)
Stat:
Earnings Season Highlights Pandemic's Impact On Health Tech Industry
It’s earnings season for health tech companies — and that’s opening a window into how the pandemic is affecting the bottom lines of companies offering high-demand virtual care. This earnings season is something of a milestone: Although the final weeks of the first quarter of this year were shaped by the growing coronavirus crisis, April, May, and June offer investors the first entirely Covid-19-era quarter’s worth of financial results. (Robbins, 8/5)
The Wall Street Journal:
Walmart Health-Care Executive To Depart
An executive leading Walmart Inc.’s health-care ambitions is leaving the company, people familiar with the matter said, as the retailer navigates the operational complexity of the coronavirus pandemic. Sean Slovenski, senior vice president and president of health and wellness for Walmart U.S., is leaving as soon as this week, one of the people familiar with the situation said. Walmart confirmed that Mr. Slovenski will leave. (Nassauer, 8/4)
Stat:
Haven Was Supposed To Reimagine Care. An Exodus Of Talent Has Gutted It
Haven, the audacious health venture founded by three of America’s most storied companies, was once a magnet for top-flight talent. But a string of high-profile departures has left the company’s C-suite all but empty. As a result, the company that set out to reimagine health care more than two years ago has made virtually no progress in reaching that goal and, by all accounts, may never. (Ross, 8/5)
Also —
Kaiser Health News:
Covered California Announces Record-Low Rate Hike For 2021
Premiums for health plans sold through Covered California, the state’s Affordable Care Act insurance exchange, will rise an average of 0.6% next year — the smallest hike since it started providing coverage in 2014, the agency announced Tuesday. The modest increase follows an average statewide increase of 0.8% on coverage that started in January of this year, which was the previous record low. (Wolfson, 8/4)
Sacramento Bee:
Covered California Premiums Will Rise 2.3% In Sacramento In 2021
Residents of El Dorado, Placer, Sacramento and Yolo counties who buy their health insurance through Covered California or on the individual market will see their premiums increase an average of 2.3% in 2021, according to state data released Tuesday. If those consumers shop around and compare plans, they should be able to save an average of 2.4%, according to Covered California officials. (Anderson, 8/4)
