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US: Attorneys argue Aetna-Humana deal violates antitrust law at trial

By  |  December 5, 2016

Attorneys for the US Justice Department argued before a federal court judge on Monday that health insurer Aetna’splanned acquisition of Humana violated antitrust law for its Medicare and Obamacare exchange businesses, kicking off a trial expected to last weeks.

The Justice Department filed a lawsuit in July asking the court to stop Aetna’s $34 billion deal for Humana, arguing that it would lead to higher prices for people in Medicare and the individual insurance program created under the Affordable Care Act (Obamacare).

Aetna said in return on Monday that Medicare Advantage competes with the government’s traditional Medicare program for elderly or disabled patients and that it plans to stay out of the exchanges in the near future.

Both those programs, as well as antitrust enforcement, could be facing changes under President-elect Donald Trump’s administration.

Justice Department lawyer Craig Conrath told Judge John Bates of the US District Court for the District of Columbia that traditional government-managed Medicare does not compete with Medicare Advantage, which is managed by insurance companies.

Full Content: Reuters

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