AHA says Anthem-Cigna merger would boost Blue Cross dominance

In a letter to the Department of Justice, the American Hospital Association said Anthem's proposed acquisition of Cigna would reduce the ability of other health insurers to compete with Blue Cross Blue Shield plans.

In its letter, the AHA raised concerns about the anticompetitive potential of the Anthem-Cigna merger, including Anthem's affiliation with BCBS.

"The acquisition threatens to both reinforce existing barriers to entry and raise new ones, further entrench dominant Blues plans, and exacerbate conditions conducive to abuse of market or monopoly power," wrote Melinda Reid Hatton, AHA senior vice president and general counsel.

Collectively, Anthem and other BCBS plans cover 105 million lives, according to the AHA. The addition of Cigna adds 14.7 million lives, representing a 14 percent increase in the lives covered by BCBS plans nationwide.

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