Medicare Rates Shock Sparks $100 Billion Selloff in Insurers

UnitedHealth Shares Fall on Weak Revenue Outlook

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By Avalon Pernell and Angel Adegbesan

January 27, 2026 at 4:13 PM UTC

Updated on

January 27, 2026 at 9:44 PM UTC

The selloff in health insurers that provide Medicare Advantage plans wiped out nearly $100 billion in stock-market value on Tuesday, even as US equities climbed to fresh highs.

Shares of managed-care companies sank, with UnitedHealth Group Inc. and Humana Inc. leading the losses by tumbling about 20%, after the Trump administration proposed holding payment rates flat next year and UnitedHealth forecast that revenue in 2026 will fall for the first time in more than three decades.