From The Associated Press

CVS Health Swings to 4Q Profit, Lays Out Leadership Changes

February 12, 2020

CVS Health swung to a fourth-quarter profit and is starting the new year with a management shakeup for its largest business.

CVS Health swung to a fourth-quarter profit and is starting the new year with a management shakeup for its largest business.

The company will replace Derica Rice with Dr. Alan Lotvin as the leader of its pharmacy benefit management segment.

CVS Health also named former Concerto Healthcare executive Alec Cunningham to lead its Aetna insurance business as it focuses more on government programs like Medicare Advantage.

CEO Larry Merlo told analysts the changes give CVS Health experienced leaders as it evolves.

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Governors Warn Trump Rule Could Lead to Big Medicaid Cuts

February 6, 2020

Governors of both major political parties are warning that a little-noticed regulation proposed by President Donald Trump’s administration could lead to big cuts in Medicaid, reducing access to health care for low-income Americans.

Governors of both major political parties are warning that a little-noticed regulation proposed by President Donald Trump’s administration could lead to big cuts in Medicaid, reducing access to health care for low-income Americans.

The arcane fiscal accountability rule proposed by the Centers for Medicare and Medicaid Services, or CMS, would tighten federal oversight and approval over complex financing strategies states have long used to help pay for their share of the $600 billion program. Also targeted are certain payments to hospitals that treat many low-income patients. Public comments closed last week amid a chorus of criticism from hospitals, nursing homes, insurers, doctors, and advocates for the poor.

Against the backdrop of an election year, governors are warning the administration of potentially dire consequences.

“States may be unable to adequately fund their Medicaid programs, which could lead to unintended consequences that would negatively impact Medicaid beneficiaries across the country,” wrote Govs. Kate Brown, D-Ore., and Charlie Baker, R-Mass., in official comments on behalf of National Governors Association.

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Insurer Anthem Underwhelms Wall Street With 2020 Forecast

January 29, 2020

Anthem is starting the new year by forecasting earnings that could miss expectations even after the health insurer books gains from a new business.

Anthem is starting the new year by forecasting earnings that could miss expectations even after the health insurer books gains from a new business.

The Blue Cross-Blue Shield insurer also reported on Wednesday earnings from the final quarter of 2019 that missed forecasts, and its stock dropped in midday trading.

Anthem predicted that earnings adjusted for one-time items will be greater than $22.30 per share in 2020. That includes income from IngenioRx, a pharmacy benefits management business it launched ahead of schedule last year.

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CVS Gets a 3Q Booster Shot From Aetna as Revenue Soars

November 6, 2019

CVS Health revenue surged in the third quarter as the drugstore chain and pharmacy benefits manager added health insurance and pushed ahead with a plan to change how many of its stores operate.

The company said Wednesday its roughly $69 billion acquisition of the insurer Aetna helped its top line climb 36% in the quarter while earnings rose 10%.

Overall, CVS Health booked $1.53 billion in net income on $64.81 billion in revenue. Adjusted earnings totaled $1.84 per share.

CVS Health revenue surged in the third quarter as the drugstore chain and pharmacy benefits manager added health insurance and pushed ahead with a plan to change how many of its stores operate.

The company said Wednesday its roughly $69 billion acquisition of the insurer Aetna helped its top line climb 36% in the quarter while earnings rose 10%.

Overall, CVS Health booked $1.53 billion in net income on $64.81 billion in revenue. Adjusted earnings totaled $1.84 per share.

Those results easily topped Wall Street’s expectations for earnings of $1.77 per share on $63.03 billion in revenue, according to Zacks Investment Research….

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Stable Costs but More Uninsured as ‘Obamacare’ Sign-Ups Open

October 31, 2019

More Americans are going without health insurance, and stable premiums plus greater choice next year under the Obama health law aren’t likely to reverse that.

As sign-up season starts on Friday, the Affordable Care Act has shown remarkable resiliency, but it has also fallen short of expectations. Even many Democrats want to move on.

More Americans are going without health insurance, and stable premiums plus greater choice next year under the Obama health law aren’t likely to reverse that.

As sign-up season starts on Friday, the Affordable Care Act has shown remarkable resiliency, but it has also fallen short of expectations. Even many Democrats want to move on.

President Donald Trump doesn’t conceal his disdain for “Obamacare” and keeps trying to dismantle the program.

During President Barack Obama’s tenure, open enrollment involved a national campaign to get people signed up. The program’s complexity was always a problem, and many lower-income people didn’t understand they could get financial help with premiums….

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