Pennsylvania AG Sues Insulin Manufacturers Over Alleged Price Inflation
What happened
The Attorney General filed a lawsuit against several pharmaceutical companies and pharmacy benefit managers (PBMs) operating in Pennsylvania. The suit alleges that these companies colluded to artificially inflate the cost of insulin by more than 1,000% in the state. The lawsuit names Eli Lilly, Sanofi, Novo Nordisk, CVS Caremark, OptumRx, and 14 other companies.
From phillyvoice.com
Why it matters
The litigation claims that insulin prices rose from approximately $20 to between $300 and $700 or more, despite the drugs costing less than $2 to manufacture. The suit further alleges that manufacturers paid PBMs for inclusion in their plans, creating a quid pro quo arrangement.
From phillyvoice.com
Who's involved
- PennsylvaniaThe state where the lawsuit was filed regarding drug pricing practices.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- MedicareSpeculative
Medicare might see its cost burden reduced if the litigation successfully lowers artificially inflated drug prices.
- Pennsylvania Department of HealthSpeculative
The Pennsylvania Department of Health could see strengthened state oversight of drug pricing and PBM practices.
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The entities involved
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Pennsylvania
state of the United States of America
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Larry Krasner
American lawyer