UnitedHealth Reverses Course, Approves Coverage For $2.1 Million Gene Therapy For Family Racing Against Clock
Lauren Sullivan had been trying to appeal UnitedHealth's initial refusal of the drug for her 21-month-old daughter, Daryn. The girl was running out of time to receive the treatment before her second birthday in October, when the drug has to be administered. The company also approved claims for three other patients. In other news, UnitedHealth beats expectations for the quarter, prompting company to boost earnings guidance.
The Washington Post:
UnitedHealth Reverses Denials And Will Cover Expensive Gene Therapy For Kids
Two families of children with a rare and debilitating disease celebrated Thursday after UnitedHealthcare reversed previous denials and approved coverage for a $2.1 million gene therapy. The giant insurance company said it has now approved all six coverage requests it received for the new gene drug, four on the basis of initial claims and now two more after the families appealed. Zolgensma, which is marketed by Novartis, is intended as a one-time treatment for spinal muscular atrophy. The families’ fight for coverage highlights the coming insurance battles over advanced gene treatments. (Rowland, 7/18)
The Star Tribune:
UnitedHealth Group Beats Expectations, Posts A Profit Of Nearly $3.3 Billion
Getting closer to the patient seems to be paying off at UnitedHealth Group. Financial results released Thursday show the Minnetonka-based health care company surpassed the $3 billion mark in profit for the fourth consecutive quarter, prompting the company to boost earnings guidance for the year. Second-quarter results beat expectations and were aided by better expense control within the company’s UnitedHealthcare business, which is the nation’s largest health insurer. (Snowbeck, 7/18)
The Associated Press:
UnitedHealth Hikes Profit Forecast After Big 2Q
UnitedHealth raised profit expectations for the year after second-quarter earnings climbed almost 13%, and the nation's largest health insurer continued expanding beyond its core business and into care delivery. A nearly 12% jump in revenue from the company's pharmacy benefit management operation helped UnitedHealth beat Wall Street expectations for the recently completed quarter. UnitedHealth's OptumRx business added more customers and moved deeper into specialty services like the infusion of drugs at patient homes. (7/18)
Reuters:
UnitedHealth Boosts Earnings Forecast, Set To Pass Price Discounts To Patients
"You can expect us not to change our stance on rebates," Chief Executive Officer David Wichmann said on a conference call with analysts to discuss the earnings. UnitedHealth shares were down $5.65, or 2%, at $260.94 in morning trading, after earlier rising about 1% in premarket trading on news the company beat estimates for quarterly profit and boosted its forecast for 2019 earnings. (7/18)
The Wall Street Journal:
UnitedHealth Lifts Profit Targets On Stronger Sales
The medical loss ratio for UnitedHealthcare, the insurance arm, was 83.1%, which analysts said was in line with projections but also benefited from prior period reserve development, essentially the difference between money set aside for claims and the actual costs. UnitedHealth executives said medical expenses had matched their expectations, and the company said the number was increased by the impact of a deferred health-insurance tax. The medical loss ratio represents the share of premiums paid out in claims. (Wilde Mathews and Chin, 7/18)
