The settlement, announced by the U.S. Attorney\u2019s Office for the Southern District of New York<\/a>, ends a lawsuit claiming CVS submitted inaccurate claims for insulin pens between 2010 and 2020. The government claimed the pharmacy chain sought reimbursements for refills issued far sooner than patients needed, and under-reported how long each refill was meant to last.<\/p>\nAccording to prosecutors, the practice led to government programs, including Medicare, Medicaid, TRICARE and the Federal Employees Health Benefits Program, paying for medication that was ineligible for reimbursement. The company admitted it dispensed more insulin than required and received payments for refills that should not have been approved, according to the attorney\u2019s office.<\/p>\n
U.S. Attorney Jay Clayton said CVS\u2019s actions created a decade-long pattern that bypassed safeguards meant to ensure pharmacies follow refill timelines and accurately track medication supplies.<\/p>\n
The government\u2019s complaint detailed that CVS sometimes submitted claims using the maximum allowable \u201cdays-of-supply,\u201d even when dispensing a full insulin pen carton exceeded that limit. Investigators said those reporting practices made it harder for pharmacy benefit managers to detect early refills and allowed excess insulin to accumulate for some patients, a risk given the medication\u2019s expiration window.<\/p>\n
Of the settlement amount, $24.4 million will go to the federal government, with the remainder paid to participating states.<\/p>\n
The attorney\u2019s office said CVS did not contest the outlined conduct in the settlement, which was approved by U.S. District Judge John G. Koeltl.<\/p>\n","protected":false},"excerpt":{"rendered":"NEW YORK \u2014 Federal prosecutors said CVS Pharmacy will pay $37.76 million to resolve accusations that the company…\n","protected":false},"author":2,"featured_media":177567,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[33],"tags":[134,524,111,139,69],"class_list":{"0":"post-177566","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-medication","8":"tag-health","9":"tag-medication","10":"tag-new-zealand","11":"tag-newzealand","12":"tag-nz"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/177566","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=177566"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/177566\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/177567"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=177566"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=177566"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=177566"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}