Centene, Elevance Seek Steep 2027 Obamacare Rate Hikes, Centene Up 28%
CNC has more than doubled off its 52-week low of $25.075.
Summary
Major Obamacare insurers, including Centene and Elevance Health, are seeking substantial premium increases for 2027. Centene is requesting a 28% hike in Washington and New York, building on a 35% increase in Washington for 2026. Elevance Health is also pursuing double-digit boosts in multiple states. This move follows recent reports of Centene's staff buyouts due to losses in its Obamacare segment and declining membership. The insurers cite rapidly rising healthcare costs and reduced federal subsidies as drivers, aiming to stabilize profit margins in a deteriorating ACA market. State regulators will review these requests, with final premiums expected in late summer.
At the time of this announcement, CNC was trading at $65.37 on NYSE in the Life Sciences sector, with a market capitalization of approximately $32.6B. The 52-week trading range was $25.08 to $69.29. This news item was assessed with neutral market sentiment and an importance score of 8 out of 10. Source: Dow Jones Newswires.