Sutter Health has agreed to pay $228.5 million to settle a significant class action lawsuit alleging the healthcare provider leveraged its market dominance to artificially inflate prices for insurers, employers, and patients. The settlement details, finalized in March, were revealed Friday in a court filing seeking preliminary approval from a Northern California U.S. District Court judge.

The antitrust litigation, originally filed in 2012, claimed Sutter Health violated competition laws through anti-competitive contracting practices that resulted in higher health plan premiums ultimately shouldered by consumers and employers. While a 2022 jury verdict initially favored Sutter Health, an appeals court overturned this decision, prompting the settlement just before retrial.

If approved, approximately 3 million individuals and employers who paid premiums to five major insurers between January 2011 and March 2021 could receive compensation. The plaintiffs’ attorneys characterized the settlement as fair, while both parties jointly stated the agreement served all interests, with Sutter Health making no admission of liability.