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CLINICAL ROLE -

Community/Retail
| Hospital
| Oncology
| Pharmacy Technician
| Student

Article

June 1, 2017

Trending News Today: PBM Files Suit Against Manufacturer Over Drug Price Hike

Author(s):

Laurie Toich, Assistant Editor

Top news of the day from across the healthcare landscape.

A bill was recently introduced in California’s Senate that would provide universal healthcare for the state’s 39 million residents. A new study projects that, if passed, this plan would cost approximately $406 billion per year, while existing state and federal funding would only cover $225 billion, The New York Times reported. The researchers reported that lower negotiated drug costs could save $75 billion, while $106 billion could be covered by new taxes. While proponents of the bill believe it could improve healthcare and lower overall costs in the future, critics say the legislation is unrealistic.

The US Department of Health and Human Services reported the government may have overpaid Mylan for the EpiPen by $1.27 billion between 2006 and 2016, which is nearly 3 times the amount of a proposed settlement, according to The New York Times. In October, the manufacturer agreed to settle for $465 million over allegations they improperly classified the treatment for Medicaid. Mylan has responded by saying they are working closely with the government to create a final settlement, according to the Times.

Express Scripts has brought a lawsuit against opioid overdose treatment manufacturer Kaléo alleging the pharmacy benefits manager is owed more than $14.5 million, according to The New York Times. Last year, the treatment, Evzio, quintupled in price and sparked criticism from patient groups and Congress. The price increases also caused Express Scripts to raise the cost of administrative fees, in addition to formulary and price-protection rebates, according to the Times. Through the lawsuit, Express Scripts is attempting to recoup lost revenue, and has since dropped Evzio from its preferred drug list.

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