BLUMENTHAL WELCOMES APPEALS COURT RULING BLOCKING HEALTH INSURANCE MEGA MERGER

Contact: Maria McElwain (202) 224-6452

April 28, 2017

BLUMENTHAL WELCOMES APPEALS COURT RULING BLOCKING HEALTH INSURANCE MEGA MERGER

Blumenthal led the call for DOJ to block proposed Anthem-Cigna merger that threatened jobs, increased premiums, and decreased access to quality health care

[WASHINGTON, DC] -U.S. Senator Richard Blumenthal (D-Conn.) today issued the following statement applauding a federal appeals court ruling that left in place a U.S. District Court decision to block the proposed merger of health insurers Anthem and Cigna.

The Department of Justice (DOJ) filed the lawsuit to block the merger after Blumenthal raised concerns that limiting competition and increasing consolidation would threaten jobs, increase premiums, and decrease access to quality health care.

"The appeals court decision today was a victory for consumers--preserving competition and choice in the health insurance market. Mega mergers kill jobs, raise prices, lessen choice, and lower health care quality. I am pleased that this misguided merger now appears off the table for good. It's time now for these insurers to focus on their growth and success as fair competitors," Blumenthal said.

In June, Blumenthal and U.S. Senators Al Franken (D-MN), Elizabeth Warren (D-MA), Sherrod Brown (D-OH), Edward J. Markey (D-MA), Dianne Feinstein (D-CA), and Mazie K. Hirono (D-HI) called on DOJ to block two proposed health insurer mergers that were then undergoing review, including the merger of Anthem and Cigna. The Senators' letter is available here. https://www.blumenthal.senate.gov/newsroom/press/release/blumenthal-franken-warren-brown-markey-feinstein-hirono-call-on-doj-to-block-proposed-health-insurer-mergers

The Anthem-Cigna merger would have made some of Connecticut's health insurance markets almost 70 percent more concentrated than they currently are--leaving them more than three times above the level DOJ considers "highly concentrated." As a result, this merger was almost certain to drive up premiums, drive down health care quality, and increase costs for Connecticut's consumers and businesses. Blumenthal strongly supports steps to help these insurers succeed and expand as thriving, independent competitors in Connecticut--so they can do more business and job-creating in the state.