Q2 Insurer Performance

Most, but not all, healthcare insurers saw rising profits in Q2. Leading the pack was Molina with a 34% increase over 2021 Q2 results. UnitedHealth Group’s profits rose 19% for the same period.

In United Health’s July 15, 2022 earnings announcement the Company said, “Growth in the second quarter was balanced across the company’s businesses, driven especially by continued strong expansion in people served at UnitedHealthcare and in value-based arrangements at Optum Health. … The second quarter 2022 medical care ratio was 81.5% compared to 82.8% last year, due to COVID effects and business mix. Favorable medical reserve development of $890 million compared to $500 million in the year ago second quarter. Days claims payable were 50.6, compared to 49.1 in the first quarter of 2022 and the second quarter of 2021.”[1]

Anthem, now known as Elevance Health, Inc.,[2] reported in its June 30, 2022 SEC Form 10-Q that “Net income for the three months ended June 30, 2022 was $1,650, a decrease of $151, or 8.4%, from the three months ended June 30, 2021. The decrease in net income was primarily due to losses on financial instruments in 2022, as compared to gains on financial instruments in 2021, as well as increased intangible amortization in 2022 related to recent acquisitions and the rebranding of our products, as we expect to retire certain trade names in the future. These decreases were partially offset by operating gain increases in each of our business units.”[3]

CVS’ Aetna subsidiary increased membership 4% year over year, despite its divestiture of Aetna’s Thailand business, which cost Aetna 266,000 covered lives.

In its 2022 Earnings Guidance, Humana stated, “Importantly, utilization in the company’s core individual Medicare Advantage business is running favorable to expectations. The lower utilization trends and lack of COVID-19 headwind seen to date allow the company to raise its FY 2022 Adjusted EPS guide by $0.25 to ‘approximately $24.75’, while still maintaining a $0.50 EPS COVID-19 headwind for the back half of the year.”[4]

Cigna reported that its “total medical customer base5,6 at second quarter 2022 grew to 17.8 million, an increase of 725,000 customers year to date, driven by growth in U.S. Commercial fee-based client relationships, partially offset by a decrease in U.S. Government inclusive of the divestiture of the Medicaid business.”[5]

Centene said its total revenues increased 16% from the second quarter of 2021 driven by organic Medicaid and Medicare growth. “Our strong second quarter results reflect the consistency of Centene’s product performance. We are pleased that results are directly in line with the expectations laid out during our June Investor Day.”[6]

Molina reported its “Premium revenue was approximately $7.8 billion for the second quarter of 2022, an increase of 18% compared to the second quarter of 2021. The higher premium revenue reflects the impact of acquisitions and increased organic membership in the Medicaid and Medicare lines of business.”[7]

Overall, insurers performed well as delayed care resulting from the pandemic didn’t materialize in Q2 and direct care resulting from COVID-19 declined and other factors led to lighter patient volumes.


[2] Effective June 27, 2022, ticker symbol “ELV.”.

[3] https://ir.elevancehealth.com/financials/sec-filings/default.aspx.


[5] https://www.prnewswire.com/news-releases/cigna-reports-strong-second-quarter-2022-results-raises-2022-outlook301599439.html#:~:text=Total%20revenues%20for%20second%20quarter,each%20of%20Cigna’s%20ongoing%20businesses.

[6] https://investors.centene.com/news-events/press-releases/detail/1038/centene-corporation-reports-second-quarter-2022-results.

[7] https://investors.molinahealthcare.com/news-releases/news-release-details/molina-healthcare-reports-second-quarter-2022-financial-results.