Why is there such a large discrepancy between net income and free cash flow at health insurance companies like United Healthcare and Cigna?
Cigna
Net Income: 6,681,000
Free Cash Flow: 9,578,000
United Healthcare
Net Income: 19,922,000
Free Cash Flow: 30,442,000
I've noticed this discrepancy at banks and other insurance companies as well.
Wells Fargo
Net Income: 16,653,000
Free Cash Flow: 24,620,000
Progressive
Net Income: 3,350,900
Free Cash Flow: 7,761,700
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