Senators probe UnitedHealth over ‘predatory’ loan collections

Two U.S. senators are pressing UnitedHealth Group for answers on what they deemed “predatory” tactics from the company in seeking loan repayments from healthcare providers related to the 2024 Change Healthcare cyberattack.

U.S. Sens. Elizabeth Warren, D-Mass., and Ron Wyden, R-Ore., wrote a letter Aug. 27 to the CEOs of UnitedHealth Group and Optum Financial, citing reports of “abusive” collections methods, including garnishing reimbursements and refusing to negotiate repayment plans. Providers have repaid about two-thirds of the $9.03 billion in loans UnitedHealth distributed after its Optum subsidiary Change Healthcare, the nation’s largest clearinghouse for healthcare claims, went offline following a February 2024 ransomware attack.

“There have been multiple reports of United using abusive tactics to recoup funds, including by withholding payment for health insurance claims through its insurance subsidiary UnitedHealthcare,” the senators wrote. “One healthcare provider compared Optum’s collections processes to those of predatory ‘loan shark’ tactics.”

Ms. Warren and Mr. Wyden demanded more information from UnitedHealth Group by Sept. 12 on the terms of the loan agreements and the collection practices.

“More than 15 months after systems restoration and 14 months after the federal government ended its own assistance program, we have worked collaboratively with thousands of providers across the country to help them satisfy the repayment responsibilities they agreed to when accepting funds,” a Change Healthcare spokesperson told Becker’s. “We will continue working with providers — based on their individual circumstances — and remain open to reasonable repayment arrangements.”

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