UnitedHealth Faces Scrutiny Over Nursing Home Bonuses

UnitedHealth Group faces mounting scrutiny after a Guardian investigation alleged the insurer secretly paid nursing homes bonuses to reduce hospital transfers, prioritizing cost-cutting over patient health. Internal documents and whistleblower complaints revealed UnitedHealth staff pressured nursing home staff to limit hospitalizations and, in some cases, encourage 'do not resuscitate' orders, resulting in harm to patients, including permanent brain damage. UnitedHealth denies blocking necessary transfers, stating bonuses were meant to prevent unnecessary hospitalizations. The U.S. Department of Justice previously investigated these practices but declined to press charges, although a criminal investigation into possible Medicare fraud remains active. The controversy has triggered a plunge in UnitedHealth's stock price by about a third since mid-April, along with analyst downgrades. The situation has been further complicated by the abrupt resignation of CEO Andrew Witty.