Why a Mild Winter Is a Win for Health Insurers

  • Warm U.S. winter may have delayed virus's spread for now
  • Hospitals could see fewer patients as health insurers benefit
Lock
This article is for subscribers only.

A warm winter is helping create the slowest start to the U.S. flu season in five years, during what is typically a dangerous time of year for the elderly and a costly one for health insurers.

The flu virus thrives in a dry, cold environment. It badly hurt insurers’ financial results last year, when Aetna Inc. and Anthem Inc. blamed epidemic levels of influenza for exceeding fourth-quarter estimates of their spending on medical care. This year may be the opposite: Health insurer Centene Corp., for example, raised its 2015 earnings guidance by about 5 cents last month, thanks largely to the absence of flu.