UnitedHealth (UNH) 10-Q 3 Nov 09 2009 Q3 Quarterly report Financial data

Statement Of Financial Position

Statement Of Financial Position Classified (USD $)
In Millions	Sep. 30, 2009	Dec. 31, 2008
Current assets:
Cash and cash equivalents	$9,535	$7,426
Short-term investments	966	783
Accounts receivable, net	1,957	1,929
Assets under management	2,339	2,199
Deferred income taxes	415	424
Other current receivables	1,617	1,715
Prepaid expenses and other current assets	475	514
Total current assets	17,304	14,990
Long-term investments	13,231	13,366
Property, equipment and capitalized software, net	2,054	2,181
Goodwill	20,362	20,088
Other intangible assets, net	2,330	2,329
Other assets	2,168	2,861
Total assets	57,449	55,815
Current liabilities:
Medical costs payable	9,292	8,664
Accounts payable and accrued liabilities	6,057	5,685
Other policy liabilities	2,845	2,823
Commercial paper and current maturities of long-term debt	500	1,456
Unearned revenues	1,051	1,133
Total current liabilities	19,745	19,761
Long-term debt, less current maturities	10,690	11,338
Future policy benefits	2,307	2,286
Deferred income taxes and other liabilities	1,809	1,650
Total liabilities	34,551	35,035
Shareholders' equity:
Preferred stock, $0.001 par value - 10 shares authorized; no shares issued or outstanding	0	0
Common stock, $0.01 par value - 3,000 shares authorized; 1,153 and 1,201 issued and outstanding	12	12
Additional paid-in capital	81	38
Retained earnings	22,476	20,782
Accumulated other comprehensive income (loss):
Net unrealized gains (losses) on investments, net of tax effects	349	(30)
Foreign currency translation losses	(20)	(22)
Total shareholders' equity	22,898	20,780
Total liabilities and shareholders' equity	$57,449	$55,815

1_Statement Of Financial Positi

Statement Of Financial Position Classified (Parenthetical) (USD $)
Share data in Millions, except Per Share data	Sep. 30, 2009	Dec. 31, 2008
Preferred stock, par value	0.001	0.001
Preferred stock, shares authorized	10	10
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	0.01	0.01
Common stock, shares authorized	3,000	3,000
Common stock, issued	1,153	1,201
Common stock, outstanding	1,153	1,201

Statement Of Income Alternative

Statement Of Income Alternative (USD $)
In Millions, except Per Share data	3 Months Ended Sep. 30, 2009	3 Months Ended Sep. 30, 2008	9 Months Ended Sep. 30, 2009	9 Months Ended Sep. 30, 2008
Revenues:
Premiums	$19,729	$18,294	$59,586	$55,027
Services	1,336	1,287	3,939	3,857
Products	490	432	1,378	1,186
Investment and other income	140	143	451	662
Total revenues	21,695	20,156	65,354	60,732
Operating costs:
Medical costs	16,171	14,943	49,248	45,344
Operating costs	3,156	2,974	9,321	9,617
Cost of products sold	442	387	1,268	1,065
Depreciation and amortization	250	254	733	722
Total operating costs	20,019	18,558	60,570	56,748
Earnings from operations	1,676	1,598	4,784	3,984
Interest expense	(137)	(166)	(407)	(484)
Earnings before income taxes	1,539	1,432	4,377	3,500
Provision for income taxes	(504)	(512)	(1,499)	(1,249)
Net earnings	$1,035	$920	$2,878	$2,251
Basic net earnings per common share	0.9	0.76	2.45	1.85
Diluted net earnings per common share	0.89	0.75	2.43	1.8
Basic weighted-average number of common shares outstanding	1,153	1,204	1,173	1,220
Dilutive effect of common stock equivalents	11	23	11	30
Diluted weighted-average number of common shares outstanding	1,164	1,227	1,184	1,250
Anti-dilutive shares excluded from the calculation of dilutive effect of common stock equivalents	110	107	115	83

Statement Of Cash Flows Indirec

Statement Of Cash Flows Indirect (USD $)
In Millions	9 Months Ended Sep. 30, 2009	9 Months Ended Sep. 30, 2008
Operating activities
Net earnings	$2,878	$2,251
Noncash items:
Depreciation and amortization	733	722
Deferred income taxes	6	(82)
Share-based compensation	259	231
Other	14	(155)
Net change in other operating items, net of effects from acquisitions and changes in AARP balances:
Accounts receivable	27	(167)
Other assets	(158)	(40)
Medical costs payable	514	70
Accounts payable and other liabilities	227	24
Other policy liabilities	(73)	(146)
Unearned revenues	(82)	(71)
Cash flows from operating activities	4,345	2,637
Investing activities
Cash paid for acquisitions, net of cash assumed	(402)	(3,945)
Cash received from disposition	0	185
Purchases of property, equipment and capitalized software	(483)	(598)
Purchases of investments	(4,861)	(8,368)
Sales of investments	3,516	4,932
Maturities of investments	2,116	2,444
Cash flows used for investing activities	(114)	(5,350)
Financing activities
Repayments of commercial paper, net	(99)	(860)
Proceeds from issuance of long-term debt	0	2,981
Payments for retirement of long-term debt	(1,350)	(500)
Proceeds from interest rate swap termination	513	0
Common stock repurchases	(1,568)	(2,505)
Proceeds from common stock issuances	247	176
Share-based compensation excess tax benefit	34	15
Customer funds administered	402	291
Dividends paid	(36)	(37)
Checks outstanding	(236)	0
Other	(29)	368
Cash flows used for financing activities	(2,122)	(71)
Increase (decrease) in cash and cash equivalents	2,109	(2,784)
Cash and cash equivalents, beginning of period	7,426	8,865
Cash and cash equivalents, end of period	$9,535	$6,081

1. Basis of Presentation, Use o

1. Basis of Presentation, Use of Estimates and Significant Accounting Policies
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
1. Basis of Presentation, Use of Estimates and Significant Accounting Policies	1.Basis of Presentation, Use of Estimates and Significant Accounting Policies Basis of Presentation The accompanying Condensed Consolidated Financial Statements include the consolidated accounts of UnitedHealth Group Incorporated and its subsidiaries (the Company). The Company has eliminated intercompany balances and transactions. The year end condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by U.S. Generally Accepted Accounting Principles (U.S. GAAP). In accordance with the rules and regulations of the U.S. Securities and Exchange Commission (SEC), the Company has omitted certain footnote disclosures that would substantially duplicate the disclosures contained in its annual audited Consolidated Financial Statements. However, these Condensed Consolidated Financial Statements should be read together with the Consolidated Financial Statements and the Notes included in the Companys Annual Report on Form10-K, as amended, for the year ended December31, 2008 as filed with the SEC (2008 10-K). The accompanying Condensed Consolidated Financial Statements include all normal recurring adjustments necessary to present the interim financial statements fairly. The Company has evaluated subsequent events through November3, 2009, the date this Form 10-Q was filed with the SEC. No material subsequent events have occurred since September30, 2009 that required recognition or disclosure in these financial statements. Use of Estimates These Condensed Consolidated Financial Statements include certain amounts that are based on the Companys best estimates and judgments. These estimates require the application of complex assumptions and judgments, often because they involve matters that are inherently uncertain and will likely change in subsequent periods. The Companys most significant estimates relate to medical costs, medical costs payable, revenues, goodwill, other intangible assets, investments and contingent liabilities. The Company adjusts these estimates each period, as more current information becomes available. The impact of any changes in estimates is included in the determination of earnings in the period in which the estimate is adjusted. Recent Accounting Standards Recently Adopted Accounting Standards. In June 2009, the Financial Accounting Standards Board (FASB) issued Statement of Financial Accounting Standards (FAS) No.168, The FASB Accounting Standards Codification and the Hierarchy of Generally Accepted Accounting Principles a replacement of FAS 162. The new standard establishes only two levels of U.S. GAAP, authoritative and nonauthoritative. The FASB Accounting Standards Codification (ASC) became the single source of authoritative, nongovernmental U.S. GAAP, except for rules and interpretive releases of the SEC, which will continue to be sources of authoritative U.S. GAAP for SEC registrants. All other non-grandfathered, non-SEC accounting literature not included in the ASC became nonauthoritative upon adoption. The new guidance became effective for the Companys third quarter of 2009. Since the new standard did not change U.S. GAAP, there was

2. Cash, Cash Equivalents and I

2. Cash, Cash Equivalents and Investments
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
2. Cash, Cash Equivalents and Investments	2.Cash, Cash Equivalents and Investments The amortized cost, gross unrealized gains and losses, and fair value of cash, cash equivalents and investments, by type, were as follows: (in millions) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value September30, 2009 Cash and cash equivalents $ 9,535 $ $ $ 9,535 Debt securities available-for-sale: U.S. government and direct agency obligations 1,233 17 (3 ) 1,247 State and municipal obligations 6,093 321 (3 ) 6,411 Corporate obligations 3,048 155 (7 ) 3,196 U.S. agency mortgage-backed securities 1,933 79 2,012 Non-U.S. agency mortgage-backed securities 563 9 (11 ) 561 Total debt securities available-for-sale 12,870 581 (24 ) 13,427 Equity securities available-for-sale 571 12 (13 ) 570 Debt securities held-to-maturity: U.S. government and direct agency obligations 158 5 163 State and municipal obligations 18 18 Corporate obligations 24 24 Total debt securities held-to-maturity 200 5 205 Total cash, cash equivalents and investments $ 23,176 $ 598 $ (37 ) $ 23,737 December31, 2008 Cash and cash equivalents $ 7,426 $ $ $ 7,426 Debt securities available-for-sale: U.S. government and direct agency obligations 1,276 65 (2 ) 1,339 State and municipal obligations 6,440 134 (90 ) 6,484 Corporate obligations 2,802 33 (132 ) 2,703 U.S. agency mortgage-backed securities 2,245 62 2,307 Non-U.S. agency mortgage-backed securities 744 (105 ) 639 Total debt securities available-for-sale 13,507 294 (329 ) 13,472 Equity securities available-for-sale 489 8 (20 ) 477 Debt securities held-to-maturity: U.S. government and direct agency obligations 157 10 167 State and municipal obligations 19 19 Corporate obligations 24 24 Total debt securities held-to-maturity 200 10 210 Total cash, cash equivalents and investments $ 21,622 $ 312 $ (349 ) $ 21,585 Included in the Companys investment portfolio were sub-prime home equity lines of credit with fair values of $10 million and $25 million as of September30, 2009 and December31, 2008, respectively. Also included were Alt-A securities with fair values of $27 million and $36 million as of September30, 2009 and December31, 2008, respectively. The fair value of the Companys m

3. Fair Value

3. Fair Value
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
3. Fair Value	3.Fair Value Fair values of available-for-sale debt and equity securities are based on quoted market prices, where available. The Company obtains one price for each security primarily from a third party pricing service (pricing service), which generally uses quoted or other observable inputs for the determination of fair value. The pricing service normally derives the security prices through recently reported trades for identical or similar securities, making adjustments through the reporting date based upon available observable market information. For securities not actively traded, the pricing service may use quoted market prices of comparable instruments or discounted cash flow analyses, incorporating inputs that are currently observable in the markets for similar securities. Inputs that are often used in the valuation methodologies include, but are not limited to, non-binding broker quotes, benchmark yields, credit spreads, default rates and prepayment speeds. As the Company is responsible for the determination of fair value, it performs quarterly analyses on the prices received from the pricing service to determine whether the prices are reasonable estimates of fair value. Specifically, the Company compares the prices received from the pricing service to prices reported by its custodian, its investment consultant, and third party investment advisors. Additionally, the Company compares changes in the reported market values and returns to relevant market indices to test the reasonableness of the reported prices. Based on the Companys internal price verification procedures and review of fair value methodology documentation provided by independent pricing services, the Company has not historically adjusted the prices obtained from the pricing service. In instances in which the inputs used to measure fair value fall into different levels of the fair value hierarchy, the fair value measurement has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Companys assessment of the significance of a particular item to the fair value measurement in its entirety requires judgment, including the consideration of inputs specific to the asset. The fair value hierarchy is as follows: Level 1 Quoted (unadjusted) prices for identical assets in active markets. Level 2 Other observable inputs, either directly or indirectly, including: Quoted prices for similar assets in active markets; Quoted prices for identical or similar assets in non-active markets (e.g., few transactions, limited information, non-current prices, high variability over time, etc.); Inputs other than quoted prices that are observable for the asset (e.g., interest rates, yield curves, volatilities, default rates, etc.); and Inputs that are derived principally from or corroborated by other observable market data. Level 3 Unobservable inputs that cannot be corroborated by observable market data. The following table presents information about the Companys financial assets, excluding AARP, that are measured at fair value on a recurring basis, according to the

4. Medicare Part D Pharmacy Ben

4. Medicare Part D Pharmacy Benefits Contract
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
4. Medicare Part D Pharmacy Benefits Contract	4.Medicare Part D Pharmacy Benefits Contract The Condensed Consolidated Balance Sheets include the following amounts associated with the Medicare Part D program: September 30, 2009 December 31, 2008 (in millions) CMSSubsidies(a) Risk-Share CMSSubsidies(a) Risk-Share Other current receivables $ 61 $ $ 349 $ 19 Other policy liabilities 62 (a) Includes the Catastrophic Reinsurance Subsidy and the Low-Income Member Cost Sharing Subsidy The Catastrophic Reinsurance Subsidy and the Low-Income Member Cost Sharing Subsidy represent cost reimbursements under the Medicare Part D program. The Company is fully reimbursed by the Centers for Medicare and Medicaid Services (CMS) for costs incurred for these contract elements and, accordingly, there is no insurance risk to the Company. Amounts received for these subsidies are not reflected as premium revenues, but rather are accounted for as deposits in Other Policy Liabilities in the Condensed Consolidated Balance Sheets. As of both September30, 2009 and December31, 2008, the amounts received for these subsidies were insufficient to cover the costs incurred for these contract elements, therefore; the Company recorded a receivable in Other Current Receivables in the Condensed Consolidated Balance Sheets. Premiums from CMS are subject to risk-sharing provisions based on a comparison of the Companys original estimates of prescription drug costs and the actual costs incurred. Variances may result in CMS making additional payments to the Company or require the Company to remit funds to CMS subsequent to the end of the year. The Company records risk-share adjustments to premium revenue and Other Policy Liabilities or Other Current Receivables in the Condensed Consolidated Balance Sheets.

5. Goodwill

5. Goodwill
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
5. Goodwill	5.Goodwill Changes in the carrying amount of goodwill, by reporting segment, were as follows: (in millions) Health Care Services OptumHealth Ingenix Prescription Solutions Consolidated Balance at December31, 2008 $ 17,044 $ 1,152 $ 1,052 $ 840 $ 20,088 Acquisitions 259 259 Subsequent Payments and Adjustments, net (a) 52 (34 ) (3 ) 15 Balance at September30, 2009 $ 17,096 $ 1,118 $ 1,308 $ 840 $ 20,362 (a) Includes transfers of business and related goodwill between reporting segments. On June1, 2009, all of the outstanding shares of AIM Healthcare Services, Inc. (AIM) were acquired for approximately $440 million in cash. AIM is a leading provider of payment accuracy solutions for health care payer and hospital clients in all 50 states. On a preliminary basis, the total consideration paid exceeded the estimated fair value of the net tangible assets acquired by $425 million, of which $166 million has been allocated to finite-lived intangible assets and $259 million to goodwill. The allocation is pending completion of a valuation analysis. The acquired goodwill is deductible for income tax purposes. The results of operations and financial condition of AIM have been included in the Companys consolidated results and the results of the Ingenix reporting segment since the acquisition date. The pro forma effects of this acquisition on the Companys Condensed Consolidated Financial Statements were not material.

6. Medical Costs and Medical Co

6. Medical Costs and Medical Costs Payable
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
6. Medical Costs and Medical Costs Payable	6.Medical Costs and Medical Costs Payable Medical costs and medical costs payable include estimates of the Companys obligations for medical care services that have been rendered on behalf of insured consumers, but for which claims have either not yet been received or processed, and for liabilities for physician, hospital and other medical cost disputes. The Company develops estimates for medical costs incurred but not reported using an actuarial process that is consistently applied, centrally controlled and automated. The actuarial models consider factors such as time from date of service to claim receipt, claim backlogs, care provider contract rate changes, medical care consumption and other medical cost trends. The Company estimates liabilities for physician, hospital and other medical cost disputes based upon an analysis of potential outcomes, assuming a combination of litigation and settlement strategies. Each period, the Company re-examines previously established medical costs payable estimates based on actual claim submissions and other changes in facts and circumstances. As the medical costs payable estimates recorded in prior periods develop, the Company adjusts the amount of the estimates and includes the changes in estimates in medical costs in the period in which the change is identified. For the three months ended September30, 2009, there was $100 million of net favorable medical cost development related to prior fiscal years and $90 million of net favorable medical cost development related to the first half of 2009. For the three months ended September30, 2008, there was $10 million of net favorable medical cost development related to prior fiscal years and $120 million related to the first half of 2008. For the nine months ended September30, 2009 and 2008, medical costs included $300 million and $210 million, respectively, of net favorable medical cost development related to prior fiscal years. None of the factors discussed above were individually material to the net favorable medical cost development in the three and nine months ended September30, 2009 and 2008.

7. Commercial Paper and Long-Te

7. Commercial Paper and Long-Term Debt
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
7. Commercial Paper and Long-Term Debt	7.Commercial Paper and Long-Term Debt Commercial paper and long-term debt consisted of the following: September30, 2009 December31, 2008 (in millions) Carrying Value (a) Fair Value(b) Carrying Value (c) Fair Value(b) Commercial paper $ $ $ 101 $ 101 $250 million par, 3.8% senior unsecured notes due February 2009 250 250 $650 million par, senior unsecured floating-rate notes due March 2009 650 644 $450 million par, 4.1% senior unsecured notes due August 2009 455 442 $500 million par, senior unsecured floating-rate notes due June 2010 500 498 500 450 $250 million par, 5.1% senior unsecured notes due November 2010 258 258 263 245 $250 million par, senior unsecured floating-rate notes due February 2011 250 250 250 219 $750 million par, 5.3% senior unsecured notes due March 2011 788 779 806 705 $450 million par, 5.5% senior unsecured notes due November 2012 483 482 493 410 $550 million par, 4.9% senior unsecured notes due February 2013 549 572 549 513 $450 million par, 4.9% senior unsecured notes due April 2013 465 468 473 419 $250 million par, 4.8% senior unsecured notes due February 2014 269 256 280 221 $500 million par, 5.0% senior unsecured notes due August 2014 542 518 567 460 $500 million par, 4.9% senior unsecured notes due March 2015 546 515 567 429 $750 million par, 5.4% senior unsecured notes due March 2016 850 761 883 661 $95 million par, 5.4% senior unsecured notes due November 2016 95 93 95 84 $500 million par, 6.0% senior unsecured notes due June 2017 589 522 620 450 $250 million par, 6.0% senior unsecured notes due November 2017 286 261 297 223 $1,100 million par, 6.0% senior unsecured notes due February 2018 1,099 1,156 1,098 1,015 $1,095 million par, zero coupon senior unsecured notes due November 2022 551 600 530 522 $850 million par, 5.8% senior unsecured notes due March 2036 844 824 844 648 $500 million par, 6.5% senior unsecured notes due June 2037 495 520 495 420 $650 million par, 6.6% senior unsecured notes due November 2037 645 695 645 548 $1,100 million par, 6.9% senior unsecured notes due February 2038 1,086 1,216 1,083 963 Total commercial paper and long-term debt 11,190 11,244 12,794 11,042 Less commercial paper and current maturities of long-term debt (500 ) (498 ) (1,456 ) (1,437 ) Long-term debt, less current maturities $ 10,690 $ 10,746 $ 11,338 $ 9,605 (a) The carrying value of the debt has been adjusted by the unamortized

8. Income Taxes

8. Income Taxes
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
8. Income Taxes	8.Income Taxes For the three and nine months ended September30, 2009, the Company released tax reserves of $41 million and $47 million, respectively, related to the favorable resolution of various historical state income tax matters. This along with a change to an insurance premium tax in lieu of an income tax in one of the states in which the Company operates resulted in a decreased effective income tax rate for both the three and nine months ended September30, 2009.

9. Share Repurchase Program

9. Share Repurchase Program
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
9. Share Repurchase Program	9.Share Repurchase Program Under its Board of Directors authorization, the Company maintains a share repurchase program (Repurchase Program). The objectives of the Repurchase Program are to optimize the Companys capital structure and cost of capital thereby improving returns to shareholders, as well as to offset the dilutive impact of share-based awards. Repurchases may be made from time to time at prevailing prices in the open market. During the nine months ended September30, 2009, the Company repurchased 66.4million shares at an average price of approximately $24 per share and an aggregate cost of $1.6 billion. As of September30, 2009, the Company had Board of Directors authorization to purchase up to an additional 36.5million shares of its common stock.

10. Share-Based Compensation an

10. Share-Based Compensation and Other Employee Benefit Plans
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
10. Share-Based Compensation and Other Employee Benefit Plans	10.Share-Based Compensation and Other Employee Benefit Plans As of September30, 2009, the Company had 47.6million shares available for future grants of share-based awards under its share-based compensation plan, including, but not limited to, incentive or non-qualified stock options, stock-settled stock appreciation rights (SARs), and up to 15.3million of awards in restricted stock and restricted stock units (collectively, restricted shares). The Companys outstanding share-based awards consist mainly of non-qualified stock options, SARs and restricted shares. Stock Options and SARs Stock options and SARs generally vest ratably over four to six years and may be exercised up to 10 years from the date of grant. Stock option and SAR activity for the nine months ended September30, 2009 is summarized in the table below: Shares Weighted- AverageExercise Price Weighted-Average Remaining ContractualLife Aggregate IntrinsicValue (inthousands) (in years) (inmillions) Outstanding at beginning of period 150,752 $ 36 Granted 14,704 30 Exercised (16,783 ) 13 Forfeited (6,233 ) 47 Outstanding at end of period 142,440 $ 37 5.3 $ 257 Exercisable at end of period 103,799 $ 36 4.2 $ 256 To determine compensation expense related to the Companys stock options and SARs, the fair value of each award is estimated on the date of grant using an option-pricing model. For purposes of estimating the fair value of the Companys employee stock option and SAR grants, the Company uses a binomial model. The principal assumptions the Company used in applying the option-pricing models were as follows: ThreeMonths EndedSeptember30, Nine Months EndedSeptember30, 2009 2008 2009 2008 Risk free interest rate 2.4 % 1.7%-4.0% 1.7%-2.4% 1.7%-4.1% Expected volatility 46.5 % 34.1% 41.3%-46.5% 28.8% Expected dividend yield 0.1 % 0.1% 0.1% 0.1% Forfeiture rate 5.0 % 5.0% 5.0% 5.0% Expected life in years 4.4 4.3 4.4 - 5.1 4.3 Risk-free interest rates are based on U.S. Treasury yields in effect at the time of grant. Expected volatilities are based on the historical volatility of the Companys common stock and the implied volatility from exchange-traded options on the Companys common stock. Beginning in 2009, the Company changed the weighting of historical and implied volatilities used in the calculation of expected volatility to 90% and 10%, respectively. Before the change the Company had weighted historical and implied volatility equally. Due to the significant economic turbulence and resulting instability of the exchange-traded options throughout 2008, the Company concluded that they were no longer as representative of the fair value of its common stock over the expected life of its options and SARs. The change had no impact on the Companys reported Net Earnings nor Earnings per Share. The Company uses historical data to estimate option and SAR exercises and forfeitures within the va

11. AARP

11. AARP
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
11. AARP	11.AARP The Company provides health insurance products and services to members of AARP under a Supplemental Health Insurance Program (the Program), and separate Medicare Advantage and Medicare Part D arrangements. The products and services under the Program include supplemental Medicare benefits (AARP Medicare Supplement Insurance), hospital indemnity insurance, including insurance for individuals between 50 to 64 years of age, and other related products. Under the Program, the Company is compensated for transaction processing and other services, as well as for assuming underwriting risk. The Company is also engaged in product development activities to complement the insurance offerings. Premium revenues from the Companys portion of the Program were $1.5 billion and $4.5 billion for the three and nine months ended September30, 2009, respectively, and $1.4 billion and $4.2 billion for the three and nine months ended September30, 2008, respectively. The Companys agreement with AARP on the Program provides for the maintenance of the Rate Stabilization Fund (RSF) that is held by the Company on behalf of policyholders. Underwriting gains or losses related to the AARP Medicare Supplement Insurance business are directly recorded as an increase or decrease to theRSF. The primary components of the underwriting results are premium revenue, medical costs, investment income, administrative expenses, member service expenses, marketing expenses and premium taxes. Underwriting gains and losses are recorded as an increase or decrease to the RSF and accrue to the overall benefit of the AARP policyholders, unless cumulative net losses were to exceed the balance in the RSF. To the extent underwriting losses exceed the balance in the RSF, losses would be borne by the Company. Deficits may be recovered by underwriting gains in future periods of the contract. To date, the Company has not been required to fund any underwriting deficits. The RSF balance is reported in Other Policy Liabilities in the Condensed Consolidated Balance Sheets and changes in the RSF are reported in Medical Costs in the Condensed Consolidated Statement of Operations. The Company believes the RSF balance as of September30, 2009 is sufficient to cover potential future underwriting and other risks and liabilities associated with the contract. The effects of changes in balance sheet amounts associated with the Program also accrue to the overall benefit of the AARP policyholders through the RSF balance. Accordingly, the Company does not include the effect of such changes in its Condensed Consolidated Statements of Cash Flows. Under the Companys agreement with AARP, the Company separately manages the assets that support the Program. These assets are held at fair value in the Condensed Consolidated Balance Sheets as Assets Under Management. These assets are invested at the Companys discretion, within investment guidelines approved by the Program and are used to pay costs associated with the Program. The Company does not guarantee any rates of investment return on these investments and, upon any transfer of the Program to another entity, the Company would transfer cash in an amount equ

12. Comprehensive Income

12. Comprehensive Income
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
12. Comprehensive Income	12.Comprehensive Income The table below presents comprehensive income, defined as changes in the equity of the Companys business excluding changes resulting from investments by and distributions to its shareholders. ThreeMonthsEnded September30, NineMonthsEnded September30, (in millions) 2009 2008 2009 2008 Net earnings $ 1,035 $ 920 $ 2,878 $ 2,251 Unrealized holding gains (losses) on investment securities arising during the period, net of tax expense (benefit) of $143, ($98), $226 and ($136), respectively 236 (176 ) 383 (243 ) Reclassification adjustment for net realized losses (gains) included in net earnings, net of tax benefit (expense) of $0, $16, ($2) and ($21), respectively 29 (4 ) (37 ) Foreign currency translation (losses) gains (1 ) 2 Comprehensive income $ 1,270 $ 773 $ 3,259 $ 1,971 There were no impairments recognized in other comprehensive income for the three and nine months ended September30, 2009.

13. Segment Financial Informati

13. Segment Financial Information
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
13. Segment Financial Information	13.Segment Financial Information The Company has four reporting segments: Health Care Services, which includes UnitedHealthcare, Ovations and AmeriChoice; OptumHealth; Ingenix; and Prescription Solutions. The following is a description of the types of products and services from which each of the Companys reporting segments derives its revenues: Health Care Services includes the combined results of operations of UnitedHealthcare, Ovations and AmeriChoice because they have similar economic characteristics, products and services, types of customers, distribution methods and operational processes and operate in a similar regulatory environment. These businesses also share significant common assets, including a contracted network of physicians, health care professionals, hospitals and other facilities, information technology infrastructure and other resources. UnitedHealthcare offers a comprehensive array of consumer-oriented health benefit plans and services for large national employers, public sector employers, mid-sized employers, small businesses and individuals nationwide. Ovations provides health and well-being services to individuals age 50 and older, addressing their unique needs for preventive and acute health care services as well as services dealing with chronic disease and other specialized issues for older individuals. AmeriChoice provides network-based health and well-being services to beneficiaries of State Medicaid and Childrens Health Insurance Programs (SCHIP) and other government-sponsored health care programs. OptumHealth provides behavioral benefit solutions, clinical care management, financial services and specialty benefit products such as dental and vision to help consumers navigate the heath care system, finance their health care needs and achieve their health and well-being goals. Ingenix offers database and data management services, software products, publications, consulting services, outsourced services and pharmaceutical consulting and research services in conjunction with the development of pharmaceutical products on a national and an international basis. Prescription Solutions offers a comprehensive suite of integrated pharmacy benefit management services, including retail network pharmacy management, mail order pharmacy services, specialty pharmacy services, benefit design consultation, drug utilization review, formulary management programs, disease management and compliance and therapy management programs. Transactions between reporting segments principally consist of sales of pharmacy benefit products and services to Health Care Services customers by Prescription Solutions, certain product offerings sold to Health Care Services customers by OptumHealth, and medical benefits cost, quality and utilization data and predictive modeling sold to Health Care Services by Ingenix. These transactions are recorded at managements estimate of fair value. Intersegment transactions are eliminated in consolidation. The following table presents reporting segment financial information: (in m

14. Commitments and Contingenci

14. Commitments and Contingencies
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
14. Commitments and Contingencies	14.Commitments and Contingencies Legal Matters Legal Matters Relating to Historical Stock Option Practices Regulatory Inquiries. On June6, 2006, the Company received a Civil Investigative Demand from the Minnesota Attorney General requesting documents from January1, 1997 to the date of the response concerning the Companys executive compensation and historical stock option practices. The Company filed an action in Ramsey County Court, State of Minnesota, captioned UnitedHealth Group Incorporated vs. State of Minnesota, by Lori Swanson, Attorney General, seeking a protective order, which was denied. The Company appealed the denial of the protective order to the Minnesota Court of Appeals. On December4, 2007, the Minnesota Court of Appeals acknowledged limitations on the Minnesota Attorney Generals authority to issue a Civil Investigative Demand, but affirmed the denial of a protective order. On February27, 2008, the Minnesota Supreme Court declined to review the matter, and the Company has since produced relevant and responsive materials. The Company also received requests for documents from U.S. Congressional committees relating to its historical stock option practices and compensation of executives. At the conclusion of any unresolved regulatory inquiries, the Company could be subject to regulatory or criminal fines or penalties as well as other sanctions or other contingent liabilities, which could be material. Litigation Matters. On March29, 2006, the first of several shareholder derivative actions was filed against certain of the Companys current and former officers and directors in the United States District Court for the District of Minnesota. The action was consolidated with six other actions and captioned In re UnitedHealth Group Incorporated Shareholder Derivative Litigation. The consolidated amended complaint was brought on behalf of the Company by several pension funds and other shareholders and names certain of the Companys current and former officers and directors as defendants, as well as the Company as a nominal defendant. The consolidated amended complaint generally alleged that the defendants breached their fiduciary duties to the Company, were unjustly enriched, and violated the securities laws in connection with the Companys historical stock option practices. On June26, 2006, the Companys Board of Directors created a Special Litigation Committee under Minnesota Statute 302A.241, consisting of two former Minnesota Supreme Court Justices, with the power to investigate the claims raised in the derivative actions and shareholder demands, and determine whether the Companys rights and remedies should be pursued. A consolidated derivative action, captioned In re UnitedHealth Group Incorporated Derivative Litigation, was also filed in Hennepin County District Court, State of Minnesota. The action was brought by two individual shareholders and named certain of the Companys current and former officers and directors as defendants, as well as the Company as a nominal defendant. On December6, 2007, the Special Litigation Committee concluded its review of claims relating to the Companys historical stock option practices

Document Information

Document Information
	9 Months Ended Sep. 30, 2009 USD / shares
Document Information [Text Block]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	2009-09-30

Entity Information

Entity Information (USD $)
	9 Months Ended Sep. 30, 2009	Oct. 27, 2009
Entity [Text Block]
Trading Symbol	UNH
Entity Registrant Name	UNITEDHEALTH GROUP INC
Entity Central Index Key	0000731766
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		1,162,016,644