$UNH - Must Pay Back Overpayments on MA

Shades of Senator Rick Scott:


Bloomberg: Headline: UnitedHealth Rejected by High Court on Medicare Overpayments

:pushpin: Sub headline: Insurer said rule ‘seriously compromises’ Medicare Advantage

:pushpin: Supreme Court declines to review appeals court decision

The US Supreme Court rejected an appeal by UnitedHealth Group Inc., leaving in place a federal rule designed to allow the government to recoup billions of dollars in overpayments from insurers that participate in the Medicare Advantage program.

UnitedHealth and its allies argued unsuccessfully that the 2014 Centers for Medicare & Medicaid Services rule will gut the popular program, forcing insurers to reduce coverage and benefits or raise premiums for many of the 26 million seniors who are enrolled.

Medicare Advantage, a private version of Medicare, has become a growth engine for the US health insurance industry, with enrollment roughly doubling in the last decade. Insurers have come under scrutiny for the way they record patient illnesses, with authorities saying the practices sometimes inflate payments. The industry has defended the practices, saying insurers are reimbursed appropriately for the risk they take on.