Appeals Court Revives Sutter Health $411 Million Antitrust Class Action
The California health provider is accused of anticompetitive behavior that increased insurance costs and now must face a new trial. Also in the news: possible reforms for the 340B drug discount program, insurers address the affordable housing crisis, and more.
Reuters:
Verdict For Sutter Health In Antitrust Case Overturned On Appeal
A U.S. appeals court on Tuesday revived a $411 million antitrust class action accusing California health system Sutter Health of engaging in anticompetitive behavior that artificially drove up insurance premiums, overturning a verdict against the plaintiffs and ordering a new trial. A 2-1 panel of the 9th U.S. Circuit Court of Appeals found that the San Francisco jury that delivered a verdict in favor of Sutter in March 2022 was given improper instructions and prevented from hearing relevant evidence. (Pierson, 6/4)
More news about health care costs —
Modern Healthcare:
340B Drug Discount Program Could See Congressional Reforms
Congress needs to fix the 340B drug discount program, health system leaders told members of a House subcommittee Tuesday. But lawmakers will have to tread carefully to avoid harming some of the organizations that depend on the program the most, the witnesses said. (McAuliff, 6/4)
NPR:
Why Fat Joe Advocates For Hospital Price Transparency
Rapper Fat Joe says, "Millions of people are getting robbed." In a public service announcement by Power to the Patients, he adds that it's "not by the guys you might think. But by hospital and insurance company executives. They crooks." That's why the Bronx-born rapper is urging officials in Washington, D.C., for price transparency in health care. (Guevara, Bearne and Martínez, 6/5)
KFF Health News:
California Becomes Latest State To Try Capping Health Care Spending
California’s Office of Health Care Affordability faces a herculean task in its plan to slow runaway health care spending. The goal of the agency, established in 2022, is to make care more affordable and accessible while improving health outcomes, especially for the most disadvantaged state residents. That will require a sustained wrestling match with a sprawling, often dysfunctional health system and powerful industry players who have lots of experience fighting one another and the state. (Wolfson, 6/5)
Axios:
Health Insurers Take On Affordable Housing Crisis In Multiple U.S. States
Health insurers are investing hundreds of millions of dollars into building new affordable housing units. Why it matters: The housing affordability crisis is a major health care concern, since housing instability is tied to poorer health. Insurers say their investments will translate to healthier communities, which would also mean less costly enrollees. (Goldman, 6/5)
