Wisconsin Office of the Commissioner of Insurance Examines Aetna-Humana Merger
Yesterday, on March 30, the Wisconsin Office of the Commissioner of Insurance (OCI) held a hearing on the proposed merger of health insurance companies Aetna and Humana. The hearing examined the acquisition and its effects on Wisconsin consumers and the health insurance market. It mostly consisted of questions from the OCI and answers from the representatives of the merging companies, with testimony from consumer groups at the end of the hearing. Antitrust lawyer David Balto
A Vital California Spotlight: the Anthem-Cigna Hearing
Justice Louis Brandeis once observed that "sunlight is the best disinfectant." That is certainly true when it comes to regulatory action. Regulators provide an open decision making process in which there is public discourse and participation and an opportunity for transparent airing of critical issues. Nowhere is sunlight more essential then in the case of the ongoing health insurance mergers of Anthem-Cigna and Aetna-Humana, which will reduce the number of national insurers
United Hospital Fund Report Examines Merger Impact on New York's Health Insurance Market
Recently, the proposed mergers of Anthem-Cigna and Aetna-Humana have attracted attention and criticism from legislatures, antitrust regulators, healthcare providers, and consumers. A new working paper from the United Hospital Fund examines the two merger plans’ impact in New York, explains the review process that is currently being conducted by federal and state officials, and sets the proposed mergers in the context of Affordable Care Act and the health care landscape. The a
Health Plan Member Satisfaction is Reduced In Less Competitive Markets
Advocates of the proposed Anthem-Cigna and Aetna-Humana health insurance mergers argue that, in the long run, the acquisitions will benefit consumers, health care providers, and insurance markets. They say consumers will gain from the mergers and members of the health plans will become satisfied with their care. This argument is vital for the merging parties because the recent value-based care initiatives taking places at the Centers for Medicare and Medicaid Services emphasi
Broad Coalition of Consumer Groups and Union Submits Comments on Aetna-Humana Merger to Wisconsin In
A sweeping coalition of consumer groups and unions submitted comments to Wisconsin Commissioner of Insurance Ted Nickel concerning the proposed Aetna-Humana merger. In these comments, the organizations commended the Office of the Commissioner of Insurance (OCI) for holding a public hearing on the merger and expressed grave concerns about the merger and its impact on consumers, healthcare providers, and health insurance markets. The groups that signed onto the comment were Con
Coalition to Protect Patient Choice Holds Capitol Hill Briefing on Health Insurance Mergers
On March 16, the Coalition to Protect Patient Choice (CPPC) held a briefing on Capitol Hill regarding the Anthem-Cigna and Aetna-Humana health insurance mergers. The panelists included Topher Spiro, Vice President of Health Policy at the Center for American Progress, Diana Moss, President of the American Antitrust Institute, Lynn Quincy, Director of Health Care Value Hub at Consumers of Union, and antitrust lawyer David Balto. Over sixty people attended the briefing. In their
DOJ Offers Insight Into Review of Proposed Mega-Mergers
Last week, the Senate Subcommittee on Antitrust, Competition, and Consumer Rights held a hearing on the enforcement of antitrust laws. Assistant Attorney General William Baer of the Antitrust Division and Chairwoman Edith Ramirez of the Federal Trade Commission both gave testimony, and the Senators followed up with questions. The Committee left no doubt that it intends to closely examine monitor oversight efforts, and the Department of Justice offered insight into its review
Divestitures Will Not Maintain Competition in Medicare Advantage
Divestitures have been increasingly criticized for being ineffective and failing to restore markets to their pre-merger condition. Previously, we reviewed a Capitol Forum study of the 2012 Humana Arcadian divestitures in Medicare Advantage. The study showed how these divestitures failed to adequately restore competition in those health insurance markets. Now the Center for American Progress has released a report further building on the Humana-Arcadian merger conclusions. In t
Study Finds No Evidence That Health Insurance Consolidation Leads To Greater Innovation
Over the past several months consumer advocates, legislators, health care providers, and antitrust regulators have been increasingly asking tough questions about health insurance mergers. Proponents of the acquisitions frequently claim that the mergers will lead to increased innovation and benefit consumers. However, Professor Leemore Dafny recently conducted a study on the subject, and concluded there is no evidence of greater product innovation in more concentrated insuranc
