Obamacare has fundamentally transformed the health-care landscape in 2014, with millions of Americans signing up for health insurance coverage under the new law, with the expansion of Medicaid accounting for a great deal of insured growth. Recent data from Gallup shows the number of insured Americans covered primarily by Medicaid gaining 0.8% from the fourth quarter of 2013 to the first quarter of 2014.

The change may not stop there. Advisory firm Avalere projects 38% managed care Medicaid growth between 2013 and 2016 under Obamacare. That could mean a huge new market to fight over for big players in the Medicaid scene, from small insurers such as Centene (NYSE:CNC), which manages Medicaid subscribers as the majority of its membership base, to America's largest insurers such as WellPoint (NYSE:ANTM) and UnitedHealth Group (NYSE:UNH).

What could this mean for investors in the health insurance sphere? In the video below, Motley Fool contributor Dan Carroll takes you through three top stocks in the insurance industry poised to capitalize on Medicaid's expansion in 2014 and coming years -- thereby potentially earning big rewards for investors.


Dan Carroll has no position in any stocks mentioned. The Motley Fool recommends UnitedHealth Group. It recommends and owns shares of WellPoint. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.