How Medicare Advantage Plans Factor Into Aetna-Humana Proposed Mega-Merger

Medicare Plans May Be More Competitive Than The DOJ Thinks—Here’s Why It Matters

The Department of Justice is widely expected to be nearing a decision on Aetna’s $34 billion deal with Humana and Anthem’s $54 billion agreement to buy Cigna, one year after the mega-health insurance mergers were announced. For months, analysts thought the Anthem-Cigna deal was the more challenged of the two when it comes to regulatory approval, because of the potential impact their combination would have on competition in the commercial large-employer market. Now, investors are increasingly concerned regulators could block Aetna and Humana’s merger because of the potential dominance the combined company would have in the market for private Medicare health plans known as Medicare Advantage. (Coombs, 7/17)