Case Details

Year Initiated/Committed

2007

Year Resolved

2008

Settlement Amount

$15,000,000 plus $1 million fine

Court

United States District Court for the District of Nevada

Docket Number

2:08-CV-00233-JCM-RJJ

Lead State

NV

Participating States

NV

Defendant(s)

UnitedHealth Group Incorporated; Sierra Health Services, Inc.

Case Description

Coordinated US DOJ and Nevada Attorney General investigations of health insurance merger, results in separate settlements filed in separate courts. Both settlements require divestiture of business division. Nevada Attorney General provides additional relief including a $15 million charitable contribution; certain restrictions on most favored nation clauses, all products clauses, and exclusivity agreement; creation of Physician Council and Attorney General Blue Ribbon Panel; relief for University Medical Center (public hospital); relief for employers (e.g. acquisition prohibition, proprietary data protections, notice of rate increases, advocacy and outreach); notice of future transactions; monitoring and enforcement provisions; and $875,000 reimbursement of attorneys fees and costs. In June 2011, UnitedHealth paid a $1 million fine to Nevada to resolve claims that it had acquired Fiserv, a Nevada health care plan administrator, in violation of the agreement settling the Sierra transaction.