This week, the Aetna and Humana trial commenced with lawyers from both sides weighing in on how the deal would impact the Medicare Advantage market, CNBC reported.
Here are four takeaways:
1. Department of Justice lawyers argued the merger would limit consumer choices in the MA market as the deal would create MA monopolies in 70 counties spanning the Untied States.
2. Aetna lawyers argued the private MA market is in competition with the rational Medicare government program, and therefore senior consumers will have choices for coverage.
3. To alleviate antitrust concerns, Aetna and Humana agreed to sell a portion of their combined business, which presented almost 300,000 members, to Molina, another major payer. DOJ attorneys stated in a brief that Molina's efforts to sell plans in the individual MA markets have been "utter failures." Since 2008, Molina has entered 63 counties and currently has 424 individuals enrolled in individual MA plans in six counties.
4. The DOJ is also in the midst of its antitrust trial against Anthem and Cigna. Both trials are expected to conclude at the end of December 2016.