Health Practices in Minnesota Struggling After Cyberattacks

Two health practices in Minnesota, Odom Health & Wellness and Dillman Clinic & Lab, have faced challenges in their attempts to expand. They, like many others, were impacted by significant cyberattacks targeting UnitedHealth Group’s payment system last year.

Odom, which focuses on sports medicine and rehabilitation, and Dillman, a family medicine provider, are among thousands of medical institutions that experienced sudden financial difficulties due to these cyber incidents. The attacks on Change Healthcare, a division of United, disrupted the nationwide healthcare payment system for several months.

During this tumultuous period, billions of dollars were lent to medical practices now beginning to face repayment demands, adding to their struggles.

Both clinics have initiated legal action against United in a Minneapolis federal court, alleging negligence related to the cyberattacks. They argue that the fallout from these incidents has led to increased operational costs for their practices.

Moreover, in their court documents, Odom and Dillman claimed that their insurance provider, UnitedHealthcare, denied claims because of delayed filings related to patient care.

Lawmakers have pointed to this disruption as a consequence of United’s relentless drive to acquire various businesses, which has raised concerns about how deeply integrated the company is within the healthcare system across the country.