The outlook for large well being insurers is steady for the remainder of 2023 regardless of challenges that embrace the potential lack of thousands and thousands of Medicaid enrollees, a brand new report from Moody’s Investors Service signifies.

More than 10 million individuals have been disenrolled from Medicaid as a pandemic-era program to maintain individuals lined with medical insurance is unwinding, however Moody’s Investors Service says the monetary impression to well being insurers “so far has been relatively small,” the report issued final week stated.

Almost each main publicly-traded well being insurer is listed within the report, together with CVS Health’s Aetna, Cigna, Centene, Elevance Health, Humana, Molina and UnitedHealth Group. Those with massive Medicaid companies made up a bit of what they misplaced from development in Americans buying particular person protection underneath the Affordable Care Act and enrollment development from different industrial plans.

“Earnings were also supported by improved individual market performance and higher levels of commercial enr0llment than we anticipated in our 2023 outlook,” Moody’s stated. “Overall, membership has grown despite the ongoing Medicaid redetermination process.”

The so-called “Medicaid redeterminations process” is about midway accomplished, Moody’s stated, citing studies displaying that greater than 10 million Medicaid enrollees have been disenrolled. Medicaid redetermination, additionally described as Medicaid renewal or Medicaid recertification, is basically when individuals are requested to indicate they’re certified for such protection.

But issues are altering considerably this yr given the tip in May of the U.S. public well being emergency that boosted the variety of Americans lined when Medicaid redetermination briefly ended three years in the past.

“Approximately 71% were disenrolled for procedural reasons, and many of those will be re-enrolled when paperwork is completed,” Moody’s stated. “As expected, this is somewhat reducing the earnings growth rate of the health insurers we rate, but it is only one of several drivers of this trend. We expect that most of the disenrollees will re-enroll in the individual market or in employer-based insurance.”

The redetermination course of must be accomplished round May 2024, Moody’s stated.

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