Health
Cyberattack on UnitedHealth Leaves Medical Providers in Debt
Two independent medical practices in Minnesota once hoped to expand operations but have spent the past year struggling to recover from the cyberattack on a vast UnitedHealth Group payment system.
Odom Health & Wellness, a sports medicine and rehabilitation outfit, and the Dillman Clinic & Lab, a family medicine practice, are among the thousands of medical offices that experienced sudden financial turmoil last year. The cyberattack against Change Healthcare, a division of United, paralyzed much of the nation’s health-care payment system for months.
Change lent billions of dollars to medical practices that were short on cash but has begun demanding repayments.
Dillman and Odom are suing United in U.S. District Court in Minneapolis, accusing the corporation of negligence related to the cyberattack and claiming they sustained excessive expenses because of the attack’s fallout.
In addition, Odom and Dillman asserted in court filings that the company’s insurance arm, UnitedHealthcare, has in turn been denying claims to cover patient care for being submitted late.
Lawmakers viewed the chaos caused by the cyberattack as a result of United’s seemingly insatiable desire to buy up companies like Change, alongside doctors’ practices and pharmacy businesses. The widespread disruption was a reminder of how deeply United’s sprawling subsidiaries had become embedded in the nation’s health care system.
“This is yet another sign that the rapid consolidation of major health care companies has harmed, rather than helped, American patients and doctors,” Senator Ron Wyden, Democrat of Oregon, said of the financial bind that the cyberattack had placed on practices.
Last month, the American Medical Association sent a letter to Optum, the UnitedHealth division that owns Change, saying that it was concerned that many practices were being pressured to repay loans despite continued financial difficulties from the cyberattack.
Since March 2024, Change had provided $9 billion in interest-free loans to more than 10,000 medical providers, including $569,680 to Odom and $157,600 to Dillman.
A year later, roughly $5.5 billion had been repaid, United said in court filings. About 3,500 practices, including Odom, Dillman and six other plaintiffs in the lawsuits, had made no repayments as of April 1. Several other practices and patients have also filed suits against United.
In a statement, Change said it would “continue to actively work with providers to identify flexible repayment plans based on the individual circumstances of providers and their practices.”
It added, “We have also worked with UnitedHealthcare to ensure the claims it receives are reviewed in light of the challenges providers experienced, including waiving timely filing requirements for the plans under its control.”
Change compared its efforts to recoup loans to those by the Centers for Medicare and Medicaid Services. After the cyberattack, C.M.S. provided accelerated payments to practices to cover Medicare billings delayed by the cyberattack. It has since garnished Medicare claims to recoup the funds.
In court filings, United cited data showing that only a small percentage of Odom’s and Dillman’s health care claims were rejected for being “untimely,” although those denials increased after the cyberattack.
Calling the plaintiffs’ motions a “collective shakedown,” UnitedHealth has also requested that the district court reject their request for an injunction against repayment of loans, arguing that they did not have the right to interfere in its business with thousands of other loan recipients.
An injunction, United argued, could be used by other medical practices to “hold hostage billions of dollars.”
Dr. Megan Dillman, who specializes in pediatrics and internal medicine, said she had opened her Lakeville, Minn., practice in 2022 to “bring the joy back to medicine.” She said she spent far more time with patients than the spartan 15 minutes that corporate health care operations have increasingly required of their doctors.
“I have some patients where I don’t think they would be here today if we didn’t exist,” Dr. Dillman said, citing cancers she had detected that had been missed by more hurried doctors.
Her husband, Richard Dillman, runs the business side of the practice. He called United’s repayment demands “a kick in the teeth.”
“I’d rather go through the Special Forces qualification course back to back — to back to back — than ever do this again,” said Mr. Dillman, a former Green Beret.
At the time of the cyberattack, Change’s medical-billing clearinghouse processed about 45 percent of the nation’s health care transactions, or about $2 trillion annually. The company had to take its services offline in February 2024 to contain damage from the attack, halting much of the health care system’s cash flow and unleashing chaos.
The associated breach of private information was the largest reported in U.S. health-care history. In January, United increased the reported number of people whose personal data had been exposed to 190 million from 100 million.
The U.S. Department of Health and Human Services’s Office of Civil Rights opened an investigation into the ransomware attack in March 2024. An agency spokesperson stated that it “does not generally comment on current or open investigations.” Some health care companies have been fined for breaches involving patient data.
Company officials have said that the hackers infiltrated Change’s systems by obtaining compromised login credentials and using a portal for entry that did not require multifactor authentication.
United officials confirmed that the company had paid a $22 million ransom to the Russian cybercriminals who claimed responsibility. The corporation reported in a January earnings report that the cyberattack had by then cost $3.1 billion.
Health care reimbursements didn’t begin to channel relatively freely through Change until June 2024, although United said that some of its systems had taken longer to come back online and that a few were still not at 100 percent.
At congressional hearings in May 2024, senators slammed Andrew Witty, United’s chief executive, for how the company had handled the cyberattack and the disruption it caused thousands of providers. Mr. Witty testified that the company had “no intention of asking for repayment until providers determine their business is back to normal.”
The loan terms stipulated that Change would not demand repayment until “after claims processing and/or payment processing services and payments impacted during the service disruption period are being processed.”
The meaning of “being processed” is now at the center of the court cases.
Change began seeking repayment from Dillman and Odom through what the medical practices characterized in court filings as a succession of increasingly aggressive letters. Both practices told Change they were unable to repay and neither accepted repayment plan offers. Change then in January demanded full repayment and threatened to withhold future reimbursements for patients’ health care.
“It’s disappointing but not surprising that UnitedHealth Group has decided to prioritize its bottom line over the well-being of families and small businesses,” said Mr. Wyden, who led the Senate hearing on the cyberattack.
The A.M.A. called upon the company to negotiate “an individualized, realistic repayment plan” with each practice.
Dr. Catherine Mazzola, who runs a pediatric neurology and neurosurgery practice in New Jersey, is among many others who have also battled with United over the loans.
“Optum, in my opinion, is acting like a loan shark trying to rapidly collect,” Dr. Mazzola, who is not a plaintiff in the lawsuits against United, said of the division that owns Change.
Dr. Mazzola received a $535,000 loan, and she said she had later told Change she could not repay it. She proposed a schedule but received no response. So she began paying $10,000 a month in January. But without any warning, she said, United began garnishing her reimbursements.
A United spokesman disputed her account, saying demand for full repayment would not occur without warning but after months of efforts to negotiate a plan.
Today, Dr. Odom employs about 110 people, many of whom provide rehab to older people in assisted-living facilities. If his practice had to repay the Change loan immediately, his lawsuit asserted, he would have to lay off at least 22 staff members. Dr. Odom said that could prompt assisted-living chains to drop his services and cause more financial harm.
“We face an uphill battle as such a small company,” said Dr. Meghan Klein, Odom’s president. Speaking to the gulf between her company’s finances and United’s, she said: “What is little impact to them is huge impact to us. These are a lot of people’s lives that we’re worried about.”
The Dillman Clinic, which derives about one-quarter of its income from United insurance reimbursements, would face bankruptcy if forced to fully repay its loan, according to its lawsuit.
Having leveraged their house, their cars and their retirement accounts against their practice, the Dillmans would lose all of their assets to bankruptcy, including their home, they said.
“Part of the goal of being here is to have control over my schedule,” Dr. Dillman said. But the cyberattack-driven chaos has consumed the couple’s time, leaving little for their 6-year-old daughter.
“There are days I see her for an hour,” Dr. Dillman said. “I’m missing her childhood.”
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Washington, DC – GLP-1 weight-loss drugs have become a prevalent part of American healthcare, and the current administration is getting behind the movement.
In an exclusive interview with Fox News Digital at the Great American State Fair in the nation’s capital on July 6, CMS Administrator Dr. Mehmet Oz voiced his support for the use of GLP-1 (glucagon-like peptide-1) medications, such as Ozempic, for appropriate uses.
“I’m a fan of GLP-1 drugs when used correctly,” he said. “They do help people who are overweight lose weight quite effectively. They’re not a replacement for diet and exercise, but they might jumpstart the system so it’s easier for you to use healthier tactics.”
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This is especially helpful for those who may have trouble moving due to joint pain or are experiencing internal dysfunction, Oz said.
Certain GLP-1 drugs are covered by Medicare for overweight candidates with certain conditions, such as high blood pressure and diabetes, and Oz projected the benefits will continue to benefit taxpayers.
Dr. Mehmet Oz is pictured in Washington, D.C., at the Great American State Fair, where he spoke about federal health policy. (Angelica Stabile/Fox News Digital)
“We believe these are so effective in reducing conditions like high blood pressure and diabetes that they’ll actually save money for the federal taxpayer, because [they’re] going to make you healthy enough that you don’t have to consume health services,” Oz said.
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“We think about 70% of all the money we spend on healthcare is caused by chronic conditions, and obesity is the No. 1 driver of all that, so it’s a smart decision.”
Oz recently announced the launch of the Medicare GLP-1 Bridge program, which will allow more seniors to access GLP-1 drugs for only $50 a month if they meet qualifying health criteria and receive prior authorization from a doctor.
The doctor expressed support for broadening affordable access to GLP-1 medications for Americans. (iStock)
“There are a lot of overweight people who don’t have high blood pressure, diabetes or other conditions, so they don’t get access to the drug normally,” he said. “We want them to have the ability to use it as well.”
Although these access shifts could boost Americans’ overall health — and in some cases could be lifesaving — Oz noted that there is “no silver bullet” when it comes to these medications.
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“I love the fact that the innovation that’s coming out of pharmaceutical companies is allowing us to save lives and make lives better,” he said. “But the real secret to longevity is eating right, exercising, sleeping, dealing with the stress of your life, finding some purpose in your existence [and] realizing you have agency over the future.”
“These are things that your mom would have told you [and that] you don’t need a doctor to be emphasizing.”
Medicating appropriately, combined with eating right, exercising and staying connected with others, can help make health goals attainable, the doctor said. (iStock)
While GLP-1s may not be a fix-all, combining these medications with foundational health practices “makes a lot of sense,” Oz said.
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“I don’t want people being fat-shamed … I don’t want you feeling guilty that you’re gaining weight even though everyone else around you seems to have figured it out,” he said. “It’s not that simple — our set points for hunger are different. We have different things going on in our lives.”
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“But if you realize how precious you are — the temple of the soul is so valuable. It’s the greatest gift your parents ever gave you, and you take advantage of every tool out there to make it work … which includes using medications when appropriate. That, to me, is MAHA.”
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Amid warnings of a Legionnaires’ disease outbreak on Manhattan’s Upper East Side, health experts say that early recognition of symptoms can mean the difference between a quick recovery and life-threatening complications, especially for high-risk groups.
New York City health officials are urging anyone who has visited the east side of Central Park or Manhattan’s Upper East Side since late June to watch for symptoms.
As of July 6, the New York City Health Department had confirmed 23 cases and 17 hospitalizations associated with the respiratory infection. No deaths have been reported.
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Officials are investigating contaminated cooling towers as the likely source. They have emphasized that the illness is not spread person-to-person and is not linked to the city’s drinking water.
Health experts say that early recognition of symptoms can mean the difference between a quick recovery and life-threatening complications, especially for high-risk groups. (iStock)
“Legionnaires’ disease is deadly but can be effectively treated if diagnosed early,” said NYC Health Commissioner Dr. Alister Martin in a press release. “New Yorkers at higher risk, including anyone who is 50 and older, those who smoke or people with chronic lung conditions should be especially mindful of their symptoms and seek care as soon as symptoms begin.”
What is Legionnaires’?
Legionnaires’ disease is a type of pneumonia caused by Legionella bacteria.
The bacteria is usually found in lakes, streams and other freshwater environments, but can grow in any area where water sits for a long time, according to the CDC.
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That can include shower heads, sink faucets, hot tubs, water features/fountains, plumbing systems and other water systems.
When people swallow or breathe in droplets of water that contain Legionella, they can potentially become ill.
Although human transmission is possible in rare cases, the disease is not typically transmitted among people, per the Centers for Disease Control and Prevention.
Symptoms of infection
Infections can lead to severe pneumonia in older people and those with compromised immune systems, according to Dr. Andrew Handel, a pediatric infectious diseases expert at Stony Brook Children’s Hospital on Long Island, New York.
Symptoms of Legionnaires’ disease usually show up between two and 14 days after exposure.
New York City health officials are urging anyone who has visited the east side of Central Park or Manhattan’s Upper East Side since late June to watch for symptoms. (iStock)
“Legionella infections cause symptoms that are similar to other forms of pneumonia — fever, coughing, difficulty breathing, shortness of breath and chest pain,” Handel previously told Fox News Digital.
“Legionnaires’ disease is deadly but can be effectively treated if diagnosed early.”
The signs are similar to other types of pneumonia, and include the following:
- Cough
- Fever
- Shortness of breath
- Muscle aches and headaches
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Some patients may also experience nausea, diarrhea and confusion, the CDC noted.
Diagnosis, treatment and prevention
A medical professional can diagnose the infection with laboratory tests and chest X-rays.
The condition is typically treated with antibiotics. In cases of severe infection, hospitalization may be required for breathing support and IV hydration.
Around 10% of people who contract Legionnaires’ disease will die from those complications — and the mortality risk rises to 25% for those who get Legionnaires’ while staying in a healthcare facility, according to the CDC.
The bacteria is usually found in lakes, streams and other freshwater environments, but can grow in any area where water sits for a long time, according to the CDC. (iStock)
“Treatment needs to be early and aggressive,” Dr. Nathan Goodyear, an Arizona-based integrative medicine expert, previously told Fox News Digital. “Legionella infection is an intracellular infection that requires antibiotic treatment.”
Antibiotics that are appropriate for Legionella infection include Levofloxacin and Azithromycin.
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“Therapy can be prescribed orally in healthy individuals… but intravenous antibiotics often prove to be the initial option for treatment secondary to the pathogenicity of the disease,” Goodyear said.
Currently, there are no vaccines for Legionnaires’ disease.
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The best strategy to prevent infection is to reduce the growth and spread of the Legionella bacteria. The CDC recommends that building owners and managers use a water management program to reduce the risk.
“New Yorkers at higher risk, including anyone who is 50 and older, those who smoke or people with chronic lung conditions should be especially mindful of their symptoms and seek care as soon as symptoms begin,” city officials stated. (iStock)
To prevent serious illness from Legionnaires’, Goodyear recommends that all smokers kick the habit, and also emphasizes the need to “aggressively support” chronic pulmonary disease.
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“Increasing immune support (vitamin D3, vitamin C, Zinc) is required to counter the immune dysfunction associated with advancing age.”
Obesity is another foundational risk factor for all chronic inflammatory diseases, the doctor added.
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Journalist Katie Couric is sharing a scary medical episode that she experienced on June 27.
In a post on Substack titled “The Day I’ll Never Remember,” she detailed a sudden episode that left her unable to recall the current month, year and president.
“I thought it was 2024. And I believed Joe Biden was president,” she wrote.
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The event occurred while Couric was attending the Aspen Ideas Festival in Colorado, during which she participated in two public panels — one on AI and one on journalism — both of which she cannot remember at all.
“I have no idea what we talked about, or of what occurred when the panels ended,” she said.
Journalist Katie Couric is sharing a scary medical episode that she experienced on June 27. (Getty Images)
John Molner — Couric’s husband, who was in attendance at the festival and the two panels — also shared his account.
After the event, someone told Molner that Katie wasn’t feeling well. When he reached her, an EMT and a doctor were tending to her. “I could tell something was off,” he wrote. “It could have been altitude sickness, but Katie was definitely not all there.”
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At the hospital, when Couric struggled to recall the year, the president and her grandchildren’s names, doctors began checking for a stroke.
An MRI revealed no signs of stroke, which was a relief, but “Katie’s ‘fog’ became a lot more apparent,” Molner wrote.
John Molner, Couric’s husband, who was in attendance at the festival and the two panels, also shared his account. (Getty Images)
“She repeatedly asked me the same questions: ‘What was I doing before we got to the hospital?’ ‘Why am I at the hospital?’”
Couric was ultimately diagnosed with transient global amnesia, a sudden, temporary episode of memory loss that prevents a person from forming new memories and may also erase some recent memories, according to Mayo Clinic.
“The cause seems to be as mysterious as the brain itself.”
It is not caused by a stroke, seizure or head injury, and it usually resolves completely within 24 hours.
“[It’s] just a very weird neural episode that’s pretty uncommon and, at least in most cases, is a ‘one and done’ experience,” Molner said.
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Couric said she finally began feeling “like herself” again around 9 p.m. and went to sleep at 2 a.m.
As TGA leaves a “permanent gap in memory” for the duration of the episode and for hours beforehand, Couric said that from around noon on that day until at least 7 p.m. will remain a “big, black hole.”
As TGA leaves a “permanent gap in memory” for the duration of the episode and for hours beforehand, Couric said that from around noon on that day until at least 7 p.m. will remain a “big, black hole.” (Getty Images)
Data shows that approximately three to eight people per 100,000 will have an episode of transient global amnesia, with people 50 years of age and older at higher risk.
The specific cause of TGA is not known, but some experts believe it stems from a “temporary dysfunction in the brain’s hippocampus — the area responsible for creating new memories,” Couric shared.
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“Doctors believe this is driven by brief interruptions in blood or oxygen flow, or microscopic spasm in the blood vessels.”
Episodes could potentially be triggered by intense physical exertion, emotional distress, extreme temperature changes or migraines, experts say.
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Approximately 15% of patients will have a recurrence 10 years later.
“Why did this happen to me? Was the altitude an issue? Was I dehydrated? Tired? Stressed? The literature doesn’t seem to indicate that these are contributing factors, but the cause seems to be as mysterious as the brain itself,” Couric wrote.
Anyone who experiences sudden memory loss, confusion, difficulty speaking, weakness, numbness, vision changes, severe headache or other stroke-like symptoms should seek immediate medical attention or call 911, doctors advise. (iStock)
“All I know is that those hours will be forever lost. Someone described it as my brain failing to hit the ‘record button.’”
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“While this was a freaky occurrence, it could have been much more serious. So ultimately, I’m relieved — even though several hours of a Saturday in June will always be missing for me.”
Anyone who experiences sudden memory loss, confusion, difficulty speaking, weakness, numbness, vision changes, severe headache or other stroke-like symptoms should seek immediate medical attention or call 911, doctors advise.
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