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American Focus > Blog > Health and Wellness > CVS Plans To Exit Obamacare In 2026, Impacting 1 Million Aetna Members
Health and Wellness

CVS Plans To Exit Obamacare In 2026, Impacting 1 Million Aetna Members

Last updated: May 1, 2025 3:38 am
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CVS Plans To Exit Obamacare In 2026, Impacting 1 Million Aetna Members
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CVS Health Announces Exit from Individual Health Insurance Business

CVS Health has recently disclosed its plans to exit the individual health insurance business, also known as Obamacare, in the upcoming year. This decision will impact approximately 1 million Aetna members across 17 states who will need to secure new coverage for 2026. The announcement was made on May 1, 2025, coinciding with the company’s positive financial performance, reporting nearly $1.8 billion in net income.

The move to withdraw from the individual insurance market comes as CVS aims to address the escalating healthcare costs within its Aetna brand health insurance plans. The decision aligns with the company’s strategic focus to optimize its portfolio and deliver superior health benefit solutions to its members. CVS reassures its commitment to providing exceptional service and support to its individual exchange members through 2025 and residual activities in 2026.

The decision by CVS to exit the individual insurance market occurs amid ongoing discussions within the political landscape regarding potential cuts to health insurance benefits. The Trump administration has shown a reluctance towards Obamacare, leading to uncertainties surrounding the future of healthcare subsidies and tax credits for individual coverage.

With approximately 1 million members in its Aetna brand individual health insurance plans, CVS acknowledges that individual coverage represents a fraction of its total medical membership. The company’s focus remains on managing cost trends and improving its underlying performance in Medicare Advantage benefits for seniors.

In the first quarter of the year, CVS reported a decrease in its medical benefit ratio, signaling progress in cost containment strategies. The company’s total revenues saw a 7% increase, reaching $94.6 billion, while net income rose to $1.77 billion. CVS President and CEO, David Joyner, emphasized the company’s commitment to driving greater care, value, and service across its integrated healthcare businesses.

See also  U.S. Departure From WHO Leaves Void Which China Is Partly Filling

As CVS adjusts its financial guidance for the year, including diluted earnings per share and cash flow projections, the company remains dedicated to building a world of better health for the 185 million consumers it serves. The decision to exit the individual health insurance business reflects CVS’s ongoing efforts to streamline its operations and enhance its overall healthcare offerings.

TAGGED:AetnaCVSExitimpactingMembersMillionObamacarePlans
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