Making Money in Government Health Care Is About to Get Harder

Looming changes to Medicare and Medicaid may temper growth at the biggest health insurers.

A family practice provider examines a patient at a health center in Silver Spring, Maryland.

Photographer: Andrew Harrer/Bloomberg

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The soaring profits that US health insurers have enjoyed in recent years from fast-growing government programs are at risk of stalling.

Imminent changes to Medicare and Medicaid may mean lower profits and slower growth, threatening to temper the robust trajectory of the big companies that operate taxpayer-funded health plans for older and low-income Americans.