The US Justice Department has initiated legal action to prevent UnitedHealth Group's proposed acquisition of Amedisys for $3.3 billion, citing antitrust concerns. This lawsuit was filed in Maryland's federal court following UnitedHealth's recent purchase of LHC Group Inc., another home health and hospice provider. The Justice Department points to the potential stifling of competition in the home health and hospice sectors, which it argues could negatively affect patients, insurers, and healthcare providers. Attorney General Merrick Garland emphasized that patients deserve affordable, high-quality care, especially during challenging times.
The lawsuit highlights that if UnitedHealth's acquisition goes through, it would undermine competition in a critical health sector by merging two of the largest home health and hospice service providers. Attorneys General from Maryland, Illinois, New Jersey, and New York have joined the suit, reflecting broader state-level apprehension. The suit contends that such consolidation "would harm patients," insurers, and caregivers, thus necessitating regulatory intervention.
UnitedHealth plans to incorporate Amedisys into its Optum subsidiary, which delivers health, pharmacy, and technology services. Optum argues the merger "would be pro-competitive and further innovation," declaring its intent to contest the Justice Department's stance. Louisiana-based Amedisys echoes support for the merger, stating it aims to enhance the quality and value of care offered to patients. Meanwhile, UnitedHealth continues to operate one of the nation's biggest health insurers, recording a third-quarter net income of $6.06 billion on $100.82 billion in revenue last month. (This story was generated by Newser's AI chatbot. Source: the AP)