Minnetonka-based UnitedHealth Group Tuesday spelled out the effects of the Affordable Care Act, also known as Obamacare, on its business outlook, The Associated Press reported.
UnitedHealth, which is the nation's largest health insurer, said at its annual investors conference in New York that the company expects to pay as much as $1.9 billion in taxes and fees imposed by the new law in 2014.
When also factoring in government funding cuts for the company's Medicare Advantage plans, UnitedHealth expects the heath care overhaul to reduce its after-tax operating earnings next year by $1.1 billion.
Fox Business said UnitedHealth's 2014 earnings forecast Monday missed Wall Street analysts' expectations.
The company said it expects earnings of $5.40 to $5.60 a share on $128 billion to $129 billion in revenue, as opposed to estimates of $5.67 per share on a revenue of $132.2 billion.
Insurance purchased through HealthCare.gov and state health care exchanges by Dec. 23 will take effect Jan. 1.