Shares of major health insurance companies slipped Friday afternoon after President Trump said he plans to pressure insurers to cut prices in meetings scheduled for the coming weeks.
Humana $HUM ( ▼ 0.49% ) , UnitedHealth Group $UNH ( ▼ 0.22% ) , Cigna $CI ( ▼ 0.77% ) , CVS Health $CVS ( ▼ 0.09% ) , and Elevance Health $ELV ( ▼ 1.14% ) all either gave up earlier gains or moved deeper into the red following the comments.
Trump turns focus to insurers
Speaking at the end of a press event announcing new drug pricing agreements with nine pharmaceutical companies, Trump said health insurers are next in line.
“I’m going to call a meeting of the big insurance companies that have gotten so rich,” Trump said. He added that a single meeting could convince insurers to cut prices by “50, 60, or 70%.”
Why markets reacted
While no policy details were provided, the remarks revived investor concerns around political pressure on insurance margins. Even the hint of government involvement in pricing discussions was enough to cool sentiment across the managed care space late in the session.