On Saturday, October 14, Trump took to Twitter in triumph over the falling health insurance stocks, which, the president notes, “went through the roof during the Obamacare years.”
Trump tweeted that the health insurance stocks “plunged” on Friday “after I ended their Dems windfall.”
For those who don’t know, the White House disclosed on Thursday that the Trump administration would halt payments to insurance companies that sell Obamacare plans, effective immediately. CNBC reported that this move is forecasted to increase premiums and may cause affected insurers to leave the marketplace.
As investors reacted to the order’s announcement, health insurers and hospital operator shares did, in fact, plunge on Friday, which includes Tenet Healthcare (NYSE:$THC) (dropped almost 5%), and Molina Healthcare (NYSE:$MOH) (dropped more than 4%).
The payments are worth roughly $7 billion to insurers in 2017 and as much as $10 billion, or more, next year.
Trump also tweeted on Saturday that he was proud of the executive order he signed Thursday morning, which he says “will allow greatly expanded access and far lower costs for HealthCare.”
Essentially, the executive order eases the rules that govern health care plans that are offered by small businesses, as well as the rules that surround enrollment in short-term health insurance plans.
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