Change Healthcare cyberattack costs soar, may hit $2.45B

UnitedHealth Group expects costs associated with the February cyberattack against Change Healthcare to cost around $2.45 billion, according to a report in the Star Tribune.

The healthcare giant previously estimated costs from the ransomware attack at $1.6 billion this year. The revised estimate includes expenses associated with funding for hospitals and physician groups affected by Change's outage and identifying impacted patients.

UnitedHealth Group has given more than $9 billion in advanced funding and interest-free loans to support care providers.

The cyberattack impacts hit $0.92 per share for the second quarter, including $0.64 per share in response efforts such as Change's clearinghouse platform restoration and increased medical expenditures.

"The company has restored the majority of the affected Change Healthcare services while continuing to provide financial support to the remaining healthcare providers in need," UnitedHealth Group stated in a July 19 press release.

Change Healthcare is also preparing to notify patients affected by the data breach directly beginning in late July.

UnitedHealth Group posted $4.2 billion in second quarter profit July 16.

Copyright © 2024 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.

 

Articles We Think You'll Like

 

Featured Whitepapers

Featured Webinars