A Goldman Sachs Group Inc. analysis found that, if the Senate Finance Committee’s health care reform legislation is enacted, Medicare cuts will reduce the five major health insurance companies’ earnings by 50 percent.   Of the five major companies—UnitedHealth Group Inc., Humana Inc., Cigna Inc., WellPoint Inc., and Aetna Inc.—Humana will be the most affected while Cigna will be the least affected because of its low number of Medicare enrollees.  Goldman Sachs also estimates that the legislation would halve profit margins on individual and small-group policies to 3 percent over 10 years but double the number of enrollees to 20 million.

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