Health Insurers Rally on Trump’s Potential ACA Subsidy Extension
Shares of major health insurers surged Monday amid reports that the TRUMP administration may propose extending Affordable Care Act subsidies for two years. Molina Healthcare, Centene, and Oscar Health led gains, with Oscar Health soaring 18%.
The anticipated plan WOULD include income limits for enrollees and funding to reduce cost-sharing, potentially stabilizing the individual insurance market. Political uncertainty around healthcare policy has kept insurers volatile—this proposal could signal near-term relief.
Market reactions suggest traders view subsidy extensions as net positive for insurer revenues, though details remain unconfirmed. The WHITE House is expected to seek Congressional approval for cost-sharing reductions that would lower out-of-pocket expenses for ACA recipients.
