UnitedHealth expects up to $1.35/share hit this year from Change Healthcare hack

By Thomson Reuters Apr 16, 2024 | 5:07 AM

(Reuters) – UnitedHealth Group expects to take a hit of as much as $1.35 per share to full-year profit from disruptions caused by the February cyberattack at its Change Healthcare unit as it works to restore services and minimize the fallout from the hack.

The disclosure is the healthcare conglomerate’s first public comment about the financial cost the company will incur from the data breach, which disrupted services at pharmacies, hospitals, doctors offices and other providers as well as community health centers in the United States.

Health insurers had to relax or remove prior authorization processes for some claims following the hack, stoking concerns of an increase in costs. At the same time, there were delays in claim submissions as medical care providers struggled with paperwork. (This story has been refiled to add $ symbol in the headline)

(Reporting by Leroy Leo and Sriparna Roy in Bengaluru; Editing by Anil D’Silva)