UNH · 10-Q · 2026Q1 · Full report

Medical Cost Trend Pressures

UNITEDHEALTH GROUP INC · 2026-05-05 · Importance 49 · Surprise 32

UnitedHealth reports elevated medical cost trends driven by increases in care patterns, provider pricing and the intensity of services delivered, and higher prescription drug costs, which management has contemplated in 2026 benefit design and pricing. In Q1 2026 medical costs were $73,489 million and the medical care ratio (MCR) was 83.9% versus 84.8% in Q1 2025 (a 0.9 percentage point decrease driven by favorable reserve development and affordability initiatives). The company is pursuing mitigation actions including provider engagement, consumer guidance, and elevated audit, clinical policy and payment integrity tools to protect customers and patients and control unnecessary costs. These cost trends are cited as drivers of pricing, benefit design, membership contraction in Medicare Advantage and value-based care participation in 2026.

Key facts

• The company stated it observed increased care patterns, health care unit costs and intensity of services delivered driven by increases in provider pricing and additional services bundled per visit. source