UnitedHealth Group announced Thursday that it has pulled back on its marketing efforts for individual exchange products and would be evaluating whether the company can continue to serve public exchange markets, such as those set up by the Affordable Care Act, in 2017.
While this news was "shocking" to CNBC's Jim Cramer, he said UnitedHealth won't be alone.
"Every single one of the companies involved in this is going to have to do exactly what UNH did," he said. "This is very damning for [the Affordable Care Act]."
UnitedHealth held more than 3 percent lower in morning trade after the health insurer cut its forecast for the year, citing low activity at public health care exchanges. Additionally, the health insurer's stock contributed the most to losses on the Dow Jones industrial average as of Thursday morning.