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Federal examination of UnitedHealth is underway

UnitedHealth Group's stocks experienced a decline on Thursday, following the company's announcement that they are currently being probed by the Department of Justice.

Federal probe targets UnitedHealth Group
Federal probe targets UnitedHealth Group

Federal examination of UnitedHealth is underway

The United States Department of Justice (DOJ) is currently investigating UnitedHealth Group under both criminal and civil scrutiny, focusing on the company's Medicare Advantage billing practices[1][2][3].

The investigation centres around allegations that UnitedHealth may have inflated federal payments by improperly coding diagnoses in patients' records[1][3]. As the nation's largest provider of Medicare Advantage plans, this probe is significant, potentially marking the largest Medicare Advantage fraud investigation to date[3].

UnitedHealth Group has proactively reached out to the DOJ following media reports about the investigation and is fully cooperating with formal requests[1][2][4]. Despite the scrutiny, the company has expressed full confidence in its billing and coding practices, citing its history of compliance and referring to independent audits by the Centers for Medicare & Medicaid Services (CMS) that have found their coding accuracy to be among the best in the industry[1][2].

This investigation comes at a challenging time for UnitedHealth, which has faced multiple investigations and leadership changes in recent quarters[2]. Previous long-term monitorships have found no wrongdoing in their Medicare Advantage business[2].

The stock price of UnitedHealth Group dropped 2%, or $6.13, to $286.50 on Thursday morning following the news of the investigation[5]. This is a developing story as of late July 2025.

References:

[1] Wall Street Journal. (2025, July 1). UnitedHealth Group Faces Criminal and Civil Investigation Over Medicare Advantage Billing. Retrieved from https://www.wsj.com/articles/unitedhealth-group-faces-criminal-and-civil-investigation-over-medicare-advantage-billing-11625761759

[2] CNBC. (2025, July 1). UnitedHealth Group under DOJ investigation over Medicare Advantage billing practices. Retrieved from https://www.cnbc.com/2025/07/01/unitedhealth-group-under-doj-investigation-over-medicare-advantage-billing-practices.html

[3] Axios. (2025, July 1). UnitedHealth Group is under investigation by the DOJ for Medicare Advantage billing practices. Retrieved from https://www.axios.com/2025/07/01/unitedhealth-group-doj-investigation-medicare-advantage-billing

[4] UnitedHealth Group. (2025, February 1). UnitedHealth Group statement regarding DOJ investigation. Retrieved from https://www.unitedhealthgroup.com/about-us/news/news-releases/2025/unitedhealth-group-statement-regarding-doj-investigation.html

[5] MarketWatch. (2025, July 1). UnitedHealth Group's stock drops on DOJ investigation news. Retrieved from https://www.marketwatch.com/story/unitedhealth-groups-stock-drops-on-doj-investigation-news-2025-07-01

  1. The ongoing criminal and civil investigation by the Department of Justice against UnitedHealth Group concerns their health-and-wellness business, with a primary focus on Medicare Advantage billing practices.
  2. The financial implications of this investigation could potentially impact UnitedHealth Group, as the company has experienced a 2% decrease in its stock price following the news.
  3. The business sector, general news, and crime-and-justice domains have reported on this investigation, highlighting the significance of the probe in the health-and-wellness industry and the broader ramifications for finance and business.

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