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UnitedHealth shareholders demand review of policies that ‘delayed or denied’ health care access

by
January 8, 2025
in Health Care
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UnitedHealth shareholders demand review of policies that ‘delayed or denied’ health care access

Shareholders of UnitedHealth Group (UHG) are calling on the company’s board of directors to release a report on how its policy of limiting or delaying access to health care may be impacting the company’s brand and the economy overall.

The proposal by shareholders asked that the UHG board of directors produce a report looking into “how company practices impact access to healthcare and patient outcomes, including analyses of how often prior authorization requirements or denials of coverage lead to delay or abandonment of medical treatment and serious adverse events for patients.”

In a supporting statement, the shareholders said UHG policies that cause “delayed or avoided medical care” threaten both the company brand name as well as its investors’ portfolios by “increasing consumer debt, jeopardizing health of policyholders and thereby reducing workforce productivity, straining government resources, and risking increased taxes.”

Sisters of the Holy Names of Jesus and Mary led the filing. Co-filers include: Benedictine Sisters of Baltimore – Emmanuel Monastery; Benedictine Sisters of Mount St. Scholastica; Mercy Investment Services; Sisters of St. Francis of Philadelphia; Sisters of the Humility of Mary, OH;  and Trillium Asset Management.

When reached for a response, a UHG spokesperson declined to specifically comment on this proposal, directing inquiries to a statement the company issued last month regarding “misinformation.” UHG said it approves and pays 90 percent of medical claims upon submission.

“Highly inaccurate and grossly misleading information has been circulated about our company’s treatment of insurance claims,” the statement read.

The company’s claim process came under congressional scrutiny last year, with a Senate report finding that UnitedHealthcare and other major health insurers denied post-acute care services for Medicare Advantage at “substantially higher rates” than prior authorization requests for other types of care.

“The data provided by the companies show that, not only did insurers deny prior authorization for postacute care more often than other services, but that the rate of denial was substantially higher for some companies,” the report found.

“For UnitedHealthcare and CVS, 2022 denial rates for prior authorization of post-acute care services were approximately three times higher than the companies’ overall denial rates. In the case of Humana, rates for 2022 were over 16 times higher.”

Timnit Ghermay, director of Northwest Coalition for Responsible Investment (NWCRI), led the filing of the proposal. Ghermay cited the recent killing of UnitedHealthcare CEO Brian Thompson in a statement explaining the request.

“UNH has been in the media and legislative spotlight for some time given its market dominance, aggressive marketing of Medicare Advantage and questionable use of AI algorithms to deny care to patients,” Ghermay said. “As the tragic murder of UNH’s Brian Thompson made evident, public outrage over the exorbitant costs and restricted access to healthcare has reached a dangerous level in our country.”

The NWCRI is part of the Interfaith Center on Corporate Responsibility (ICCR), which describes itself as a “coalition of faith- and values-based investors.” The ICCR has previously filed proposals for UHG to produce reports explaining its use of artificial intelligence as well as racial disparities within the company.

—Updated at 5:29 p.m.

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