(Reuters) -UnitedHealth Group announced Tuesday that it will buy LHC Group (NASDAQ): The biggest U.S. insurance provider expands its home-health services.

This deal will bring together the providers of home healthcare, mostly for patients with chronic illnesses and injuries and UnitedHealth’s Optum unit. It manages drugs benefits and provides healthcare data analysis services.

As patients and caregivers have become more comfortable accessing vital healthcare from home than in a clinic, the demand for home-based care has increased.

This deal is one month after UnitedHealth sued the U.S. Justice Department to stop its $8 billion acquisition Change Healthcare’s billing and payment service provider Change Healthcare (NASDAQ)). The U.S. Justice Department claimed that the agreement would allow the insurer to access the data of competitors.

UnitedHealth will pay $170 per share for LHC Group shares, which is 8.12% more than the stock’s closing price.

LHC shares rose 7.5%, trading at $168.70 just before the opening bell. UNH shares were slightly higher.

UnitedHealth anticipates that the LHC agreement will not affect its outlook for adjusted share profit in 2022, and moderately increase in 2023. After the agreement closes, the LHC Group’s co-founders Keith Myers and Ginger Myers plan to invest $10 Million in the stock of the insurance company.

Humana, a health insurance company (NYSE:), purchased the 60% remaining stake in Kindred at Home home health provider Kindred at Home last year for $5.7 billion. This was to increase its patient care operations.

LHC Group had financial advisors in SVB Leerink and Jefferies LLC.