Sen. Elizabeth Warren (D-Mass.) is urging the Federal Commerce Fee to scrutinize CVS Well being’s planned acquisition of Medicare-focused major care supplier Oak Avenue Well being.

In a letter to FTC Chair Lina Khan and Commissioners Alvaro Bedoya and Rebecca Slaughter, the progressive senator wrote the deal may decrease high quality of care and hike prices. 

She additionally pointed to different acquisitions – together with UnitedHealth Group’s buy of house well being supplier LHC Group, Walgreens’ stake in major care firm VillageMD and its cope with CareCentrix, and Amazon’s acquisition of One Medical – as a part of a push towards vertical integration, “creating a couple of giant healthcare conglomerates that management all points of sufferers’ healthcare journeys.”

CVS additionally owns insurer Aetna and pharmacy profit supervisor CVS Caremark. Final yr, the corporate announced plans to buy house well being platform Signify Well being.

Warren famous the expansion of value-based care preparations has the potential to enhance well being outcomes and lower prices, however she added various healthcare firms see “a major money-making alternative,” particularly by buying major care or house well being firms that take Medicare Benefit plans. 

“Given the potential threat that vertical integration may result in larger healthcare costs and decrease high quality of care, the Federal Commerce Fee (FTC) ought to rigorously scrutinize this deal, and others prefer it, and oppose any healthcare acquisition that will threaten competitors, enhance costs and cut back high quality of care,” Warren wrote within the letter. “The FTC must also retrospectively assessment comparable consummated offers and problem in court docket any mergers which have diminished competitors in violation of antitrust legal guidelines.”

CVS didn’t reply to a request for remark.

THE LARGER TREND

After weeks of rumors, CVS confirmed it had signed a $10.6 billion deal to buy Oak Avenue in early February. It marked one other transfer into the first care area for an enormous retailer, which has additionally seen exercise from firms like Walgreens, Walmart and Amazon.

Consultants have famous the enlargement of retail healthcare may supply sufferers extra entry to care, as main retail pharmacies have areas throughout the U.S. However it’s additionally needed for the businesses to build trust with patients as primary care providers and arrange better care coordination workflows. 

“I feel that there is lots of positives to retail gamers by way of catering to client preferences and offering care in a extra handy means,” Sanjula Jain, senior vp of market technique and chief analysis officer at Trilliant Well being, instructed MobiHealthNews in December. “However for lots of advanced care, acute care – that each American goes to wish sooner or later of their life – there’s a little bit extra fragmentation.”

Tracy Chu will supply extra element throughout her HIMSS23 session “Automation Improves Digital Training App Efficiency.” It’s scheduled for Wednesday, April 19 at 11:30 a.m. – 12:30 p.m. CT on the South Constructing, Degree 5, room S505.