Justice Department and Atrium Health Reach Settlement

11/18/18

By Mary Mannen, NCBIZNews

Atrium Health and the U.S. Department of Justice have reached an agreement to bring an end to the government’s litigation about health care costs.

There was no admission of wrongdoing on behalf of Atrium Health in the settlement agreement. Athena Health will not have to pay any penalties or fines.

The health care company was originally sued over language within certain health insurance contracts. The contracts in question date back to 2001 and were added to ensure Atrium Health was provided an equal opportunity when competing for patients.

The Department of Justice alleged that Atrium Health, the dominant hospital system in the Charlotte area, used its position to restrict health insurers from offering providers with increased overall value.

Regulators filed the lawsuit in June 2016.

The settlement bars Atrium Health from using anticompetitive steering restrictions within its relations and contracts.

“With health care costs rising, vigilant antitrust enforcement is an essential tool for protecting consumers,” said Assistant Attorney General Makan Delrahim. “By eliminating restrictions that curb comparison shopping and interfere with competition among health care providers, today’s resolution of our antitrust action allows consumers in the Charlotte area to benefit from competition when making critically important healthcare choices.”

The settlement will be presented to the court for approval.

Atrium Health, previously Carolinas HealthCare System, works to enhance community health and well-being by the way of patient care, research programs and collaborative partnerships.

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