Low health claims may help WellPoint, Aetna

NEW YORK, July 27 (Reuters) - WellPoint Inc and Aetna Inc , the second and third-biggest U.S. health insurers by market value, are set to report second-quarter earnings on Wednesday that will likely be helped by Americans avoiding doctor visits and delaying medical procedures.

The industry has benefited from Americans postponing such care during the weak economy. Moderated use of healthcare services has lowered medical claims, leading to stronger-than-expected financial performances.

The results, combined with greater investor comfort in the fallout of the U.S. healthcare overhaul, has spurred strong stock price gains this year. Aetna shares are up about 40 percent and WellPoint has climbed roughly 30 percent, while the S&P 500 index is up only about 6 percent.

Both WellPoint and Aetna reported first-quarter profits that easily exceeded Wall Street estimates and raised their respective earnings forecasts for the year.

Last week, UnitedHealth Group Inc , the industry's largest company by market value, reported better-than-expected second-quarter results although it raised its forecast only to a level in line with analyst estimates.

In the wake of UnitedHealth's report, Stifel Nicolaus analyst Thomas Carroll raised his estimate for WellPoint's 2011 earnings to $7.25 per share from $6.85 per share.

WellPoint has projected earnings of at least $6.60 per share, excluding any investment gains. Analysts on average are looking for $7.12, according to Thomson Reuters I/B/E/S.

Carroll said WellPoint shares often trade lower on earnings reports and may do so on Wednesday given that a "raise in guidance is unlikely to meet current consensus levels."

Investors will also want to hear more about WellPoint's Medicare strategy following its acquisition of privately held Medicare specialist CareMore, which serves seniors through Medicare Advantage plans and operates clinics. The acquisition was announced in June.

Aetna has also been active on the acquisition trail. It said in June it would buy the Medicare supplement business of life and mortgage insurer Genworth Financial Inc for $290 million. Earlier this month, it agreed to pay $202 million to buy privately held health PayFlex Holdings Inc, which provides Web-based benefit administration for healthcare plan sponsors that offer consumer-based products. (Reporting by Lewis Krauskopf; Editing by Phil Berlowitz and Matt Driskill)