Health
Humana Reports Lower Medical Costs, Bucking Industry Trend
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Humana Inc. spent less money on medical care than Wall Street expected in the quarter, easing investor concerns about how rising medical costs are making business more difficult for US health insurers.
The company also reported higher-than expected profit in the quarter and reaffirmed its earnings guidance for the year, a rare sign of relief in a US health insurance industry that has seen higher costs eating into profits. Chief Executive Officer Jim Rechtin said Humana is on track to return to target margins in its individual Medicare Advantage business in 2027.