UnitedHealthcare has the highest claim denial rates by insurance companies

UnitedHealthcare, whose CEO Brian Thompson was fatally shot in Manhattan on Wednesday, has faced mounting scrutiny in recent years over its high rate of claim denials.

While the motive for the attack is still under investigation, NYPD officials have described the shooting as “targeted” and “premeditated.” According to the Associated Press, investigators discovered messages on the gunman’s ammunition—“deny,” “defend,” and “depose”—which appear to reference strategies often associated with the insurance industry’s approach to handling claims.

In 2023, UnitedHealthcare denied about one in three claims, the highest rate among major insurers and double the industry average of 16%, according to an analysis by ValuePenguin, a consumer research site specializing in insurance. The findings were based on in-network claims data from the Centers for Medicare & Medicaid Services.

“UnitedHealthcare has always been close to the top” in terms of claim denial rates, said Divya Sangameshwar, an insurance expert at ValuePenguin. “You see a lot of these anguished messages [from patients] all over.”

Complexity and Criticism

The reasons behind claim denials are often complex and difficult for consumers to understand, Sangameshwar explained. In many cases, a doctor may recommend treatment, but the insurer determines that it falls outside the policy’s coverage and refuses to pay.

UnitedHealthcare has been repeatedly criticized for its practices. A Senate report previously called out health insurers, including UnitedHealthcare, for denying care to elderly patients who had suffered falls or strokes.

“My heart goes out to people who have a medical issue and find out their health insurance is inadequate,” Sangameshwar added.

The company’s practices, now under fresh public scrutiny, highlight broader concerns about the healthcare insurance industry’s approach to coverage and claims.

Unusual Whales does not confirm the information's truthfulness or accuracy of the associated references, data, and cannot verify any of the information. Any content on this site or related pages are not intended to provide legal, tax, investment or insurance advice. Unusual Whales Inc. is not registered as a securities broker-dealer or an investment adviser with the U.S. Securities and Exchange Commission, the Financial Industry Regulatory Authority (“FINRA”) or any state securities regulatory authority. Nothing on Unusual Whales should be construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any security by Unusual Whales or any third party. Options, investing, trading is risky, and losses are more expected than profits. Please do own research before investing. Please only subscribe after reading our full terms and understanding options and the market, and the inherent risks of trading. It is highly recommended not to trade on this, or any, information from Unusual Whales. Markets are risky, and you will likely lose some or all of your capital. Please check our terms for full details.
Any content on this site or related pages are not intended to provide legal, tax, investment or insurance advice. Unusual Whales Inc. is not registered as a securities broker-dealer or an investment adviser with the U.S. Securities and Exchange Commission, the Financial Industry Regulatory Authority (“FINRA”) or any state securities regulatory authority. Nothing on Unusual Whales should be construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any security by Unusual Whales or any third party. Certain investment planning tools available on Unusual Whales may provide general investment education based on your input. You are solely responsible for determining whether any investment, investment strategy, security or related transaction is appropriate for you based on your personal investment objectives, financial circumstances and risk tolerance. You should consult your legal or tax professional regarding your specific situation. See terms for more information.