US-based health insurance giants CVS Health Corp., Cigna Group, and UnitedHealth Group Inc. charged significantly more than the national average for specialty generic drugs, resulting in over $7.3 billion in excess revenue over six years, according to a Federal Trade Commission (FTC) report.
The practice increased costs for consumers and insurers on key treatments for serious conditions like cancer, multiple sclerosis, HIV, and organ transplants. The FTC claims that pharmacy benefit managers play a significant role in the pharmaceutical supply chain, inflating costs along the way.
The report comes as the FTC prepares to file a lawsuit against the three companies, alleging they failed to fully comply with subpoenas. The suit seeks an order requiring the companies to provide additional information about their business practices.
Source: https://www.bostonglobe.com/2025/01/14/business/ftc-cvs-cigna-unitedhealth-middleman