DOJ’s UnitedHealth Investigation Sends U.S. Stocks Lower
WSJ What’s News
The Wall Street Journal
4.1 • 4.2K Ratings
🗓️ 21 February 2025
⏱️ 13 minutes
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| 0:27.9 | slash UK slash AI for people. The Justice Department is investigating United Health, |
| 0:36.1 | pulling down healthcare stocks. Plus, new data |
| 0:39.1 | shows the housing slump continues. Some economists may have been expecting that the sales decline |
| 0:45.3 | would be smaller because there's been an increase in inventory in the homes available for sale. |
| 0:51.1 | But really what we've seen is a lot of buyers are just deterred by these |
| 0:55.0 | current mortgage rates and the high prices. And one fast food chain's high-tech way of getting |
| 1:00.3 | you your sandwiches quicker. It's Friday, February 21st. I'm Alex Oslo for the Wall Street Journal. |
| 1:06.8 | This is the PM edition of What's News, the top headlines and business stories that move the world today. |
| 1:16.2 | We report exclusively that the Justice Department has launched an investigation into United Health Group's Medicare billing practices. |
| 1:23.6 | According to people familiar with the matter, the new civil fraud investigation is examining how the company recorded diagnoses that trigger extra payments to its Medicare Advantage plans. |
| 1:33.4 | Here to tell us more is Christopher Weaver, who covers U.S. healthcare companies for the journal. |
| 1:38.0 | Chris, break this down a little bit for us. What is the DOJ looking into? |
| 1:42.1 | Yeah, so what we know now is that attorneys for the DOJ's civil |
| 1:46.1 | division and at the U.S. Attorney's Office in Minnesota have questioned a number of medical |
| 1:51.2 | providers who either used to work for United or had contracts with the company. |
| 1:56.8 | About its practices for recording diagnoses for Medicare billing purposes. The way United's |
| 2:02.4 | Medicare Advantage plans work is they get paid basically a lump sum that goes up when people are |
| 2:07.0 | sicker, creating an incentive to add more diagnoses. And as the journal reported in December, |
| 2:14.0 | doctors working for United were adding such diagnoses at much higher than usual rates. And in some |
| 2:19.9 | cases, say they've experienced various forms of encouragement or even pressure to record diagnosis. |
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