Justice Department Sues to Block UnitedHealth, Amedisys Merger

Deal would limit competition, DOJ says

The Justice Department on Tuesday sued to block UnitedHealth Group Inc.'s $1.3 billion deal to buy home health company Amedisys Inc., saying the merger would reduce competition and lead to higher prices for patients.

DOJ: Merger Would Reduce Competition

The Justice Department said in its complaint that the merger would give UnitedHealth, which is the nation's largest health insurer, too much control over the home health care market.

The complaint alleges that the merger would eliminate competition between UnitedHealth and Amedisys, which is the nation's second-largest provider of home health care services.

DOJ: Merger Would Lead to Higher Prices

The Justice Department also said in its complaint that the merger would likely lead to higher prices for home health care services.

The complaint alleges that UnitedHealth would be able to use its market power to raise prices on home health care services, which are already expensive.

UnitedHealth, Amedisys Dispute DOJ Claims

UnitedHealth and Amedisys have disputed the Justice Department's claims.

UnitedHealth has said that the merger would not harm competition and would actually benefit patients by giving them access to a wider range of services.

Amedisys has said that the merger would create a more efficient and effective home health care provider.

Trial Set for March 13

A trial in the case is set for March 13, 2023.

The Justice Department is seeking to block the merger and require UnitedHealth to sell Amedisys.