Oct 13 Reuters U.S. healthcare conglomerate UnitedHealth beat analysts39; estimates for thirdquarter profit on Friday, powered by lowerthanexpected medical costs at its health insurance unit.

Shares of the health insurance industry bellwether rose 3 to 542.50 after it also slightly raised its annual forecast, lifting shares of rivals between 2 and 3 in early trade.

Warnings from UnitedHealth and Humana in June that older adults were getting more comfortable opting for surgeries delayed during the pandemic had caused a 60billion wipeout in insurers39; market value on fears of a spike in medical costs.

Levels of elective surgeries remained more stable than the previous quarter and were still high among older adults, Chief Financial Officer John Rex said in a postearnings call.

UnitedHealth39;s thirdquarter medical loss ratio, or the percentage of spend on claims versus premiums collected, was 82.3. That compared with 83.2 in the second quarter.

Analysts had expected a ratio of 82.82, according to LSEG data.

UnitedHealth reported its best quarter for the year, Jefferies analyst David Windley said, adding that the initial scare related to high demand for outpatient surgeries was fading.

On an adjusted basis, the company earned 6.56 per share, compared with estimates of 6.32.

Revenue from the insurance unit, the company39;s largest, rose nearly 13 to 69.9 billion.

UnitedHealth raised the lower end of its fullyear adjusted profit forecast for the second straight time…