By Patrick Moore
5 years ago when I was building a slide deck about the biggest health insurance companies in the 🇺🇸 the named popped up. I spent my career on the group side so it was never really a company i paid attention to. They focus alot on the medicaid and the individual market under a brand called Ambetter Health.
You might ask why the dramatic stock price drop? ………..Government.
Ever since the passage of the hashtag#CAA in 2020 my eyes became aware of how much healthcare legislation gets included in all the large spending bills. The Big Beautiful Bill is no different.
The thing that is not being talked about enough is the ACA subsidies that have been removed. In 2021 we had 11 million people on the “obamacare” exchanges. In 2025 it is closer to 25 million. A large portion of those people could only afford coverage because of the enhanced subsidies. Most didn’t even know they went into affect in 2022, or just how big of a deal it was. After all, the Inflation Reduction Act was about Inflation right….. 😆
This was the genesis of “normal” people finally being able to buy coverage on the exchange. Prior – it was the very poor and desperate.
Will I spend 100 bucks a month to buy a hashtag#Centene policy if i am healthy? Yes
Will I spend 600 bucks a month to buy a hashtag#centene policy if i am healthy? No
Thats why the stock dropped. Its a big deal.
