States Join Federal Antitrust Effort Against Anthem-Cigna Deal
The District of Columbia and 11 states, including California, New Hampshire and Tennessee, have joined the Justice Department's lawsuit.
KQED:
California Attorney General Joins Federal Suit To Block Anthem-Cigna Merger
California Attorney General Kamala Harris is joining a federal Justice Department antitrust lawsuit to block the proposed health insurance mega-merger between Anthem and Cigna, a consolidation that would create the country’s largest health insurer. While Harris acknowledged that mergers can create benefits for consumers, this deal “does not strike that balance and would drive up costs for consumers and reduce access to quality healthcare for millions of Californians,” she said in a statement. The lawsuit was filed by the Justice Department and attorneys general in nine other states, in addition to California. (Aliferis, 7/21)
San Francisco Chronicle:
California Moves To Block Anthem-Cigna Deal
California joined U.S. Justice Department antitrust lawsuits filed Thursday in an effort to block the merger of two major health insurers — Anthem Inc.’s bid to buy Cigna Corp. The Justice Department also sued to block Aetna Inc.’s proposed acquisition of Humana Inc., citing concerns that the two megamergers would drastically constrict competition in key markets, drive up premiums and reduce quality. California Attorney General Kamala Harris said the proposed $48.3 billion merger between Anthem and Cigna, which would create the nation’s largest health insurance company, would “drive up costs to consumers and reduce access to quality health care for millions of Californians.” (Colliver, 7/21)
New Hampshire Public Radio:
New Hampshire Joins Lawsuit Challenging Anthem-Cigna Merger
New Hampshire has joined a nationwide effort to block the proposed merger of Anthem and Cigna, the state’s two largest health insurers. New Hampshire is one of a dozen states that have signed on to a lawsuit by the U.S. Department of Justice, challenging Anthem’s plans to purchase Cigna for $54 billion. The suit alleges the merger would reduce competition for millions of Americans who receive health insurance from their employers or through the Affordable Care Act. (Wallstin, 7/21)
Concord Monitor:
N.H. Joins Lawsuit To Block Anthem-Cigna Merger
In a move that isn’t entirely a surprise, New Hampshire has joined 11 states and the federal government in a lawsuit opposing the $48 billion merger of health insurance giants Anthem and Cigna, saying it would harm competition...The federal government is also suing to block a similar merger, a $37 billion deal between insurance giants Aetna and Humana, also because of concerns about competition. New Hampshire is not part of that lawsuit because the merger has no effect in this state. (Brooks, 7/21)
The Tennessean:
Tennessee Joins Obama In Bid To Block Insurer Merger
Tennessee is joining the lawsuit brought by the federal government to block the proposed $54 billion merger between health insurance giants Anthem and Cigna. The U.S. Department of Justice filed a lawsuit today to stop Anthem's acquisition of Cigna over concerns about competition and market concentration. Tennessee joins 10 other states and the District of Columbia in the lawsuit filed today in the U.S. District Court for the District of Columbia. (Fletcher, 7/21)
Meanwhile, Georgia's insurance department is postponing its hearing on the Aetna-Humana merger —
Georgia Health News:
As Feds File Suit Over Insurance Deals, Georgia Postpones Hearing
The state’s Department of Insurance on Thursday postponed next week’s hearing on the Aetna-Humana merger after federal antitrust officials filed suit to block the proposed deal over anti-competitive concerns. The feds also filed a lawsuit Thursday to stop Anthem’s proposed acquisition of Cigna. Anthem has a significant stake here, being the parent company of Georgia’s largest health insurer, Blue Cross and Blue Shield of Georgia. But it’s the Aetna-Humana deal, if consummated, that is expected to have the bigger effect on the health insurance business in Georgia. (Miller, 7/21)