Health insurer says it 'proactively' reached out to the Justice Department after saying in May that the report of an investigation was 'deeply irresponsible'
UnitedHealth Group's stock fell Thursday after the company confirmed government criminal and civil investigations into its Medicare practices but stressed that it doesn't expect to be charged with any wrongdoing.
The confirmation comes two months after the company called a Wall Street Journal report that the U.S. Department of Justice was investigating possible criminal Medicare fraud "deeply irresponsible."
At that time, the company said it had not been notified by the DOJ of a criminal investigation.
The stock (UNH) dropped 1.8% in morning trading, paring an earlier loss of as much as 3.3%.
On Thursday, UnitedHealth said in a filing that it "proactively" contacted the DOJ after the media reports in May about the investigations. The company said it "has now begun" to comply with the department's requests regarding the investigation.
"The company has a long record of responsible conduct and effective compliance," UnitedHealth said.
The company also disclosed that independent audits by the Centers for Medicare & Medicaid Services have confirmed that its "practices are among the most accurate in the industry."
That's already been the conclusion of a roughly decade-old civil challenge by the government to part of UnitedHealth's Medicare Advantage business. In that proceeding, a court-appointed special master has already concluded there was no evidence behind claims of wrongdoing.
Meanwhile, UnitedHealth reiterated that it has launched a third-party review of its performance, processes, policies and practices for risk-assessment coding, managed-care practices and pharmacy services.
"The company is committed to maintaining the integrity of its business practices and serving as reliable stewards of American tax dollars," UnitedHealth said.
The stock has tumbled 43.2% in 2025, to make it the Dow Jones Industrial Average's DJIA worst performer this year. The Health Care Select Sector SPDR exchange-traded fund XLV has slipped 0.7% this year, while the Dow has gained 5.4%.
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