Health Insurance Forecast & Analysis 2009-2011


Mike Warner  
Conning, Inc.

Conning Research: Health Insurance Pricing Pressures and Decrease in Group Enrollment to Impact Growth and Profitability through 2011

(Hartford, CT) January 7, 2010—As health insurers struggle with pricing resistance from employers and decreases in enrollment in group health employee benefit plans, health insurer growth and profitability continues to be under pressure, according to a new industry forecast by Conning Research & Consulting.

“We project health care costs to increase faster than premiums, which will prevent margins and statutory operating gains from approaching pre-recession levels through 2011,” said Terence Martin, analyst at Conning Research & Consulting. “The prospects for health care reform increase the uncertainty facing health insurers as they try to recover from the recession.”

The Conning Research report, “Health Insurance Forecast & Analysis 2009-2011” provides a three-year forecast of the health insurance industry and its key lines of business—Managed Care, Individual Accident & Health, and Group Accident & Health.

“Medicare Advantage margins are also decreasing, and other individual accident and health programs, while producing better margins, are relatively small and somewhat volatile,” said Stephan Christiansen, director of insurance research at Conning. “Nevertheless, some opportunities may be emerging in individual health and small group health markets as insurers gear up capacity in advance of health care reform. Also, the recession increased Medicaid enrollment, creating opportunities for health insurers operating in the managed Medicaid market.”

“Health Insurance Forecast & Analysis 2009-2011” is available for purchase from Conning Research & Consulting by calling (888) 707-1177 or by visiting the company’s web site at

About Conning

Conning Research & Consulting is a division of Conning, a provider of asset management and insurance industry research and consulting services to insurers.  Conning Research & Consulting has published independent insurance industry research for 50 years, including market coverage of 30 segments of the industry in addition to industry forecasting and identification and analysis of major strategic issues. As a result of its wealth of experience and intimate knowledge of the insurance industry, Conning understands industry challenges and opportunities and provides in-depth analyses on a wide range of industry products and issues. Conning is headquartered in Hartford, CT.