Latest news with #ArthurWong
Yahoo
4 days ago
- Business
- Yahoo
Centene's Q2 loss: Why health insurers face such big headwinds
Health insurers are navigating rising costs and regulatory challenges, with Centene (CNC) slashing its forecast amid ACA uncertainties. Arthur Wong, S&P Global Ratings healthcare managing director, and Adriel Bettelheim, Axios senior healthcare editor, discuss the impact on the industry and what's ahead. To watch more expert insights and analysis on the latest market action, check out more Market Catalysts here. Managed care company Centene swung to a loss in its most recent quarter, blaming rising Medicare costs and ACA issues during the three-month period. Centene's struggles are part of a broader trend in the health insurance industry. Several insurers this earnings season, including Molina Healthcare and Elevance Health, have called out things like rising costs, regulation, and shifting membership. Here to talk about this backdrop and what it means for the future of the industry are Arthur Wong, S&P Global Ratings Healthcare managing director, and Adriel Bettelheim, senior healthcare editor at Axios. Thank you both for being here. We appreciate it. Happy to be here. Thank you, Julie. So it's interesting in the case of something like a Centene, which slashed its forecast for this year but says it's focused on trying to make its ACA business profitable going ahead into 2026. Adriel, I want to start with you and what we've seen kind of big picture from the health insurance industry, which really seems to be grappling with some of the changes that are happening on the regulatory and reimbursement front. What do you think is or what have you been seeing in your reporting as sort of the biggest challenge there? It's probably the most volatile time for health policy since 2018, and I think some of them in their rate filings, at least, are anticipating both higher costs for care and higher demand. On the policy front, obviously the big beautiful bill Act made the biggest package of changes to Medicaid. And that is going to bring, if estimates hold, about 10 million more uninsured. So there's the prospect of sicker risk pools, more uninsured people showing up in hospital emergency departments. But then also, there's the anticipation that the enhanced Affordable Care Act subsidies, which are due to expire at the end of this year, that the Republicans in Congress won't renew them. So that adds millions more uninsured, not uninsured, but leaving the ACA market. So I think the insurers are all factoring this volatility in, both the higher costs and the changing risk, and it's definitely giving them jitters. And Arthur, how do they possibly navigate in this kind of environment? How do you think they're adapting, and who's sort of doing the best job? Yeah, I mean, it's it's tough to say, in terms of on top of all the legislative changes and the uncertainty being brought about by the BBB Act. I mean, the insurers are already dealing with higher utilization rates for healthcare services, higher costs, and that's coming in from this labor inflation over the last several years. So it's been an issue they've been grappling with since the second half of 2023. So it'll be interesting to see in terms of what they do in terms of cutting costs or trying to lower the utilization. You've seen them trying to increase approval times for procedures. Also, from the service providers' perspective that we cover, we do see them in terms of their collections and in terms of their approvals that those days have stretched out over the past year as well. That's had an impact for the service providers. And Arthur, are there certain insurers that are more and less exposed to certain patient cohorts that will therefore make them sort of more and less vulnerable, or is the industry as a whole affected? I think the whole industry, there are certain providers that are more exposed to the ACA market, the Medicaid market, or the, I mean, Medicare Advantage is also a market that's also been under pressure the last couple of years. So it's it's been a mix, but given how interrelated the whole healthcare system is, it's broadly hit across all of the health insurers. Adriel, I want to ask you as well about UnitedHealth because the company just confirming this week that it was responding to requests from the Justice Department investigators on both the civil and criminal front. There's been some reports about those investigators looking into its Medicare business. And obviously, UnitedHealth has been under a microscope both publicly and regulatorily for a little while now. What have you seen in your reporting in terms of what that means for that company? Yeah, we still don't know a lot of the details of the investigation, but it is, you know, Medicare Advantage insurers are paid more to care for sicker patients. So there is this concern about upcoding, making the patient look sicker and collecting more in payments. And the Trump administration, in general, is looking at overbilling of Medicare by all sorts of providers, making that a priority. So, I think the upcoding, particularly dealing with Optum, the United unit, is definitely a focus. There's also separate antitrust investigations and criminal investigations, which could, you know, relate to a variety of things. So the the admission, bearing out some of the earlier reporting by The Wall Street Journal, I think, puts them under especially close scrutiny. And we'll see if Congress is moved to act. There are some pieces of legislation addressing upcoding in Medicare Advantage that could be part of a deal if they choose to go that far sort of later in the year. Has there been any sort of independent investigation, Adriel, into how prevalent upcoding is and how much, you know, more that insurers are charging as a result of all this? I think there's a general feeling that it's kind of breaks a little bit along partisan lines, but certainly on the Democratic side, there's a feeling that they're overpaid and that there is a certain amount of fraud. And I think the Republicans are kind of, they do love Medicare Advantage historically, and it does now account for more than half of the Medicare enrollees. So there's a reluctance to touch it too much, but I think it is a real concern that there's some more integrity. And that's why some of these proposals are putting it on CMS on the Medicare administrators to do lookbacks and to do a lot more oversight into the billings. 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Associated Press
27-05-2025
- Business
- Associated Press
Hang Lung Achieves Sustainability Milestone: 80% of Mainland Portfolio Powered by Renewable Energy
Forum 66, Palace 66, and Olympia 66 are the first commercial developments in Liaoning Province to be powered by wind and solar energy HONG KONG SAR & SHANGHAI, CHINA - Media OutReach Newswire - 27 May 2025 - Hang Lung Properties Limited (SEHK stock code: 00101) (the 'Company' or 'Hang Lung') announced that the Company has increased its portfolio of renewable energy-powered properties in mainland China from 50% to 80% of its operating properties. The three additional properties—Forum 66 and Palace 66 in Shenyang, and Olympia 66 in Dalian—have transitioned to renewable energy sources since May 1, 2025, and are the first commercial developments in Liaoning Province to achieve this milestone. Forum 66, Palace 66, and Olympia 66 are the first commercial developments in Liaoning Province to adopt green energy 'This transaction marks a major step towards realizing Hang Lung's 2050 net zero goal . With these latest pioneering renewable energy projects in mainland China, we are proud to continue leading this journey,' said Mr. Adriel Chan, Chair of Hang Lung Properties and Chair of the Sustainability Steering Committee. 'We will continue to pioneer renewable energy initiatives, support the sustainability targets of our partners, and inspire others to accelerate their decarbonization efforts in line with China's dual carbon ambitions.' The three properties have secured renewable energy from wind and solar sources through power purchase agreements aligned with China's green energy policy framework. By the end of 2025, Hang Lung is expected to purchase a total of approximately 320 million kWh of renewable energy across eight properties. This achievement surpasses the Company's sustainability target of 25% renewable energy for its mainland China portfolio in 2025. Hang Lung's clear demand signal for renewable energy in multiple cities is helping to accelerate the energy transition, empower tenants to advance their own sustainability commitments with direct access to renewable energy, and foster a greener retail and commercial ecosystem in China. At Forum 66 in Shenyang, the Green Power Purchase Agreement was signed by (from left) Mr. Arthur Wong, Deputy General Manager – Mainland Business Operation of Hang Lung Properties, Mr. John Haffner, Deputy Director – Sustainability of Hang Lung Properties, Mr. Jinzeng Yu, Deputy General Manager of Northeast Region of China Resources Power, and Ms. Airong Yang, General Manager of China Resources (Liaoning) Electric Power Sales Co., Ltd 'As a leading luxury hotel, we work to ingrain sustainability in all aspects of our operations,' said Mr. Erich Kaiserseder, General Manager, Conrad Shenyang. 'It is great news for us and for our guests that Hang Lung has procured renewable energy for its Liaoning properties, including all the electricity for our hotel in Forum 66.' 'Tenants and landlords need to work together to advance common sustainability goals,' said Ms. Xuan Liu, Director, Dacheng Shenyang Law Firm. 'We are very happy that our office space at Forum 66 is now powered by green electricity thanks to Hang Lung's initiative in the market.' Located in Shenyang, capital of Liaoning Province, Forum 66 is a mixed-use development comprising a world-class shopping mall, Grade A office tower and the 5-star Conrad Shenyang on Qingnian Da Jie, also known as the 'Golden Corridor', while Palace 66 caters to young and trendy consumers as an aspirational retail and lifestyle destination. Olympia 66 in Dalian is the epicentre of luxury retail and lifestyle destination. Appendix: Hang Lung's Renewable Energy Chronology: December 2021: Spring City 66 in Kunming is Hang Lung's first property and the first commercial complex in Yunnan Province to be powered by renewable energy. January 2023: Parc 66 in Jinan is the first commercial property in Jinan and Shandong Province to be powered by renewable energy. April 2024: Plaza 66 and Grand Gateway 66 in Shanghai, and Center 66 in Wuxi build on the successes in Kunming and Jinan and are also powered by renewable energy. May 2025: Forum 66 and Palace 66 in Shenyang, as well as Olympia 66 in Dalian, are the first commercial complexes in Liaoning Province to be powered by renewable energy. Altogether, eight out of ten of Hang Lung's Mainland operating properties are now powered by renewable energy.* *Green power terms under power purchase agreements for the entire property (covering both landlord and tenant consumption) since May 1, 2025. Property Minimum Green Electricity Under Bundled Power Purchase Agreement Maximum Unbundled Green Electricity Certificate Spring City 66, Kunming 100% 0% Parc 66, Jinan 100% 0% Center 66, Wuxi 98% 2% Grand Gateway 66, Shanghai 95% 5% Plaza 66, Shanghai 95% 5% Forum 66, Shenyang 95% 5% Palace 66, Shenyang 95% 5% Olympia 66, Dalian 95% 5% Hashtag: #HangLung #Forum66 #Palace66 #Olympia66 The issuer is solely responsible for the content of this announcement. About Hang Lung Properties
