Home Uncategorized Seven insurers accuse CVS of increasing drug prices

Seven insurers accuse CVS of increasing drug prices

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A New charge – For the second time in a year, CVS pays billions of dollars in overpayments to over-the-counter health insurance providers. CVS, however, dismissed the allegations in an email statement as “baseless” and “completely ineligible.”

The plaintiffs – Maryland Care First, Group Hospital and Medical Services, CareFirst BlueChoice, Blue Cross and South Carolina Old Choice Helplane, South Carolina, Blue Cross and Louisiana and Beel Shield and HMO Louisiana – filed charges in the United States last week. District Court in Rhode Island. this is Second, such an accusation To be presented on CVS last year. Last May, six Blue Cross Blue Shield companies sued CVS over drug prices.

Vonsocket, Rhode Island-based CVS has been involved in a deliberate fraudulent scheme to claim insurance for prescription drugs.

Through the Health Savings Pass program, which was later replaced by the Prescription Savings Card Program, CVSS introduced hundreds of over-the-counter medicines at low cost. The lawsuit alleges that the programs served two purposes. Initially, the programs were designed to help CVS compete with cash customers. The second was to hide the true value of the drugs from third parties, including the plaintiffs.

The lawsuit alleges that “the charges against third party payers, including plaintiffs, are high – and often high.”

As a result, the insurers pay CVS much higher than the actual prices offered by CVS to their clients.

The indictment alleges that “through this illegal scheme, including millions from CVS, billions of dollars have now been illegally lost.

The company has been plotting fraud for years, insurers have said in a statement. The pharmacy has created a huge health savings program to avoid offering discounts as “normal and custom”.

Although it is basically a financial program, it is described as a membership program, and CVSS allows non-members to get discounted drug prices, say the insurers.

In 2016, the company replaced the Health Savings Pass program with a prepaid savings card program, but did not include membership fees. The lawsuit alleges that the program also provided discounted prices for medicines to the general public.

However, CVS denied the allegations and said that the first HPS program was a membership program intended for uninsured or non-insured customers, while the second VPSC program was a third-party prescription card program.

Mike Danglis, director general of CVS Health Communications, said: None of these programs were hidden or fraudulent. ”

The plaintiffs are demanding more than double the reward for overpayment.

Photo: Photographs, Getty Images

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