UnitedHealth Group responds to DOJ investigation into Medicare billing practices

UnitedHealth Group confirmed Thursday that the U.S. Department of Justice is investigating how it bills for its Medicare Advantage plans. 

What we know:

In a statement, the company said it has "begun complying with formal criminal and civil requests from the Department," adding that it will continue to work with federal authorities throughout the process. 

The focus of the investigation is UnitedHealth’s Medicare Advantage business, which provides private health insurance coverage to older Americans under the federal Medicare program. UnitedHealthcare—the company’s insurance arm—is the nation’s largest provider of these plans, serving more than eight million people. 

The move comes as the federal government increases scrutiny of potential overbilling and misrepresentation in the Medicare Advantage program, which serves millions of older Americans. 

Dig deeper:

Earlier this year, the Wall Street Journal reported that officials had launched a civil fraud investigation into how UnitedHealth recorded patient diagnoses that could lead to higher payments for its Medicare Advantage plans.  

Medicare Advantage has become one of UnitedHealth’s most profitable segments.  

UnitedHealth emphasized in its statement that it has "full confidence in its practices" and will continue cooperating with the Justice Department.