Anthem officials testified for the company's $54 billion acquisition of Cigna Tuesday, arguing the resulting entity would be innovative and not compromise health insurance marketplace competition, according to The Wall Street Journal.
Here are four takeaways from Anthem's defense.
1. The executive in charge of the Indianapolis-based insurer's national customer accounts Morgan Kendrick said innovation "is oxygen to our business" and Cigna's innovation efforts are "very attractive to our company." Mr. Kendrick testified the market would remain competitive since UnitedHealthcare and Aetna — not Cigna — are Anthem's top competitors.
2. As employers divide their health benefit programs amongst insurers, two other Anthem executives argued the insurer faces competition on that front as well as private exchanges servicing employer-based coverage, according to the report.
3. U.S. District Judge Amy Berman Jackson criticized Anthem's lawyers for repeating arguments about how the deal would not impede national insurance competition. Judge Jackson said to an Anthem lawyer, "I begged you to not do this again" and said the payer was slowing trial proceedings, The Wall Street Journal reports.
4. The first phase of the trial concerning arguments over the proposed acquisition's effect on the national insurance market is set to end this week. A second phase honing in on the proposed deal's effects on local markets could begin as early as Dec. 12.