The aftermath of a cyberattack on Change Healthcare in February has had a devastating impact on physician practices across the U.S. with 80% of physicians reporting lost revenue from unpaid claims, according to a survey by the American Medical Association (AMA). The largest billing and payment system in the country, Change Healthcare’s electronic system was paralyzed by the attack, leaving doctors and medical care providers without the ability to get insurance approval for patient services. This has resulted in financial strain for physicians, with more than half of survey respondents having to use personal funds to cover practice expenses.
AMA President Dr. Jesse M. Ehrenfeld expressed concern over the financial strain caused by the cyberattack, stating that the incident could lead to the closure of physician practices and result in patients losing access to their physicians. The combination of Medicare cuts and the inability to process claims as a result of the attack has been particularly devastating for practices that were already struggling to stay open. Physicians have reported difficulties in paying rent and staff, leading to practice closures and thousands of patients experiencing delays in their treatments or prescriptions. The FBI and the Department of Health and Human Services are currently investigating the cyberattack on Change Healthcare.
According to the AMA survey conducted from March 26 to April 3, 36% of respondents reported suspended claim payments, 32% were unable to submit claims, and 22% couldn’t verify eligibility for benefits. UnitedHealth Group, the parent company of Change Healthcare, disclosed that they had advanced nearly $4.7 billion to providers in need as of April 3. They also committed to offering financial support to providers until the system is fully recovered. Significant enhancements are available to providers who receive payments from payers processed by Change Healthcare, UnitedHealthcare medical, dental, and vision providers, as well as those who are implementing workaround solutions and working with payers who have not advanced funds during the downtime.
The cyberattack on Change Healthcare has caused chaos for physicians and medical care providers, crippling the billing and payment system and leaving thousands of practices financially burdened. AMA’s survey revealed the extent of the impact on physician practices, with a significant number reporting financial strain and the need to use personal funds to cover expenses. The disruption caused by the attack has led to practice closures and delays in patient care, raising concerns about access to physicians for patients across the country. The investigation into the cyberattack by the FBI and the Department of Health and Human Services is ongoing, with efforts being made to address the fallout and support affected providers.
UnitedHealth Group’s commitment to providing financial support to providers impacted by the attack demonstrates their recognition of the severity of the situation and their willingness to assist in the recovery process. The company’s efforts to advance funds to providers in need and offer enhancements and tutorials to support medical care providers affected by the cyberattack are essential in helping practices navigate the challenges caused by the disruption. As physicians continue to grapple with the aftermath of the attack, the support and resources provided by UnitedHealth Group offer a glimmer of hope in overcoming the financial strain and uncertainty faced by medical care providers during this challenging time.
