Health insurance stocks fell on President Trump’s call to change ACA payments

Centene (CNC), HCA Healthcare (HCA) and Molina Healthcare (MOH) were among the worst-performing stocks in the S&P 500 on Monday after President Donald Trump suggested federal health care money should bypass insurance companies and go directly to people.

Trump wrote on his social media platform Truth Social over the weekend that he is recommending that the Senate and House fund the change covered by the Affordable Care Act (ACA), or Obamacare, so that it “goes directly to the people so they can afford their health care, much better, and have money left over.”

The president criticized insurance companies, calling them “money suckers,” and said the United States should “take from the big, bad insurance companies, give it to the people, and end, for every dollar spent, the worst health care anywhere in the world, Obamacare.”

The Washington Committee for a Responsible Federal Budget estimated earlier this month that subsidies paid to insurers this year have a total cost to the federal government of $138 billion, up from $53 billion in 2020.

Centene shares were down more than 8% in midday trading, while Molina shares were down nearly 7% and HCA shares were down 5%. Shares of United Health Group (UNH), Cigna Group (CI) and other health insurers also fell.