UnitedHealth Is Cashing In On The Open Enrollment Crisis

As 24 million Americans begin shopping for health insurance during the Affordable Care Act marketplace’s open enrollment period, Congress is deadlocked over whether or not to extend premium tax credits that help the vast majority of these people afford coverage. At the same time, UnitedHealth Group, the country’s largest insurer, just beat Wall Street’s profit expectations. 

The timing isn’t coincidental. It’s the business model — since no matter what happens to the country’s health care safety net, insurers like UnitedHealth are poised to win. 

Insurance companies have filed rate assumptions for both the extension and expiration scenarios, and under both options, they profit. Meanwhile, consumers face spiking premiums, soaring out-of-pocket costs, and debilitating uncertainty. What looks like political gridlock is, in fact, a strategic opportunity for the insurance industry.