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yesterday

UnitedHealth Faces Investor Lawsuit Over CEO’s Killing and Profit Impact

Shareholders allege the company misled them about the financial fallout from CEO Brian Thompson's death and subsequent policy shifts, triggering a $119 billion market loss.

The corporate logo of the UnitedHealth Group appears on the side of one of their office buildings in Santa Ana, California, U.S., April 13, 2020. REUTERS/Mike Blake///File Photo/File Photo/File Photo
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Overview

  • A class action lawsuit filed in Manhattan federal court accuses UnitedHealth of concealing the business impact of CEO Brian Thompson's December 2024 killing.
  • Shareholders claim the company withheld information about profitability challenges stemming from a shift away from aggressive claims denial practices.
  • UnitedHealth initially reaffirmed its 2025 profit guidance in January but sharply downgraded its forecast in April, leading to a 22.4% stock drop and significant investor losses.
  • The lawsuit, covering share purchases between December 3, 2024, and April 16, 2025, names CEO Andrew Witty and CFO John Rex as co-defendants.
  • UnitedHealth denies the allegations and plans to defend itself vigorously, while public scrutiny over health insurer practices continues.