NEW YORK ( TheStreet) -- The nation's health insurance companies have invested a lot in the Affordable Care Act.
They have spent money setting rates they believe will be both competitive and profitable. Since they have done this in the absence of hard data on loss ratios -- it's hard to make estimates on marketplaces that don't exist -- they have taken on considerable risk.
So if the ACA is such a bad deal, you'd assume traders would be selling these stocks as the health exchanges opened. You'd think the low prices being shown on most exchanges couldn't be sustained by experience, and that the insurers should be sold.
That has not happened. On a day when the S&P 500 finished up 0.8%, here's how the biggest health insurers finished:
- UnitedHealth (UNH) up 1.4%.
- Aetna (AET) up 1.4%.
- Humana (HUM) up 2.2%.
- Cigna (CI) up 2.2%.
- Universal American (UAM) up 2.2%.
- WellPoint (WLP) up 3.0%.
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