Cigna settles FTC insulin case and agrees changes to lower drug prices

Express Scripts, part of Cigna, settled FTC claims over insulin pricing and entered a 10-year agreement restricting certain rebate practices; the FTC says the deal could save patients up to $7 billion over ten years.

Express Scripts, the pharmacy benefits unit of Cigna, settled Federal Trade Commission claims that its insulin pricing practices violated antitrust and consumer protection laws. The deal is a 10-year agreement that places limits on rebate-related practices the FTC said contributed to higher costs. The agency estimated the agreement could save patients up to $7 billion over a decade. An independent monitor will oversee compliance for three years. Key details: - Express Scripts settled the FTC's case over insulin pricing and agreed to an enforceable 10-year agreement. - The settlement restricts certain rebate-related practices and requires greater disclosure and cooperation with local pharmacies. - The FTC estimated the agreement could save patients up to $7 billion over ten years. - A three-year independent monitor will oversee compliance, and related cases against other large pharmacy benefit managers remain ongoing. Summary: The agreement gives the FTC enforcement tools to require broader changes at Express Scripts and is described by the agency as a measure to reduce drug costs. Oversight will include an independent monitor for three years. Related litigation involving other pharmacy benefit managers continues, and further developments are undetermined at this time.