UnitedHealth Group paid over $3.3 billion to care providers hit by cyberattacks

[March 28, 2024]  (Reuters) -U.S. insurer UnitedHealth Group on Wednesday said it has advanced more than $3.3 billion so far to care providers impacted by a cyberattack last month on insurance claims system Change Healthcare.

UnitedHealth said it has paid more than 40% of that total to so-called safety net hospitals and federally qualified health centers serving high-risk patients and communities.

Change Healthcare is a system for making and clearing insurance claims, processing about 50% of medical claims for around 900,000 physicians, 33,000 pharmacies, 5,500 hospitals and 600 laboratories.

It was attacked on Feb. 21 by a hacking group calling itself "ALPHV" - also known as "BlackCat" - causing a cash crunch at small healthcare providers along with disruption from which the largest U.S. health insurer could take months to fully recover.

UnitedHealth Group's headquarters building is seen in Minnetonka, Minnesota, U.S. in this handout picture taken in 2019. UnitedHealth Group/Handout via REUTERS/File Photo

The Department of Health and Human Services is investigating whether there was a breach of protected health data. The State Department has offered up to $10 million for information on the hacking group.

(Reporting by Chandni Shah in Bengaluru; Editing by Subhranshu Sahu and Christopher Cushing)

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