Walgreens agrees to pay $360 million to settle Humana lawsuit
Humana brought the case against Walgreens in February 2022, claiming the retailer had inflated prescription drug prices for years.
Photo: Joe Raedle/Getty Images
Walgreens Boots Alliance has agreed to pay $360 million to Humana to settle a lawsuit alleging the retail pharmacy overcharged for prescription drug reimbursements.
On Friday, U.S. District Judge Ana Reyes dismissed the civil lawsuit with prejudice, according to the filing in federal court in the District of Columbia.
Walgreens disclosed the settlement amount in a filing with the U.S. Securities and Exchange Commission.
WHY THIS MATTERS
Humana brought the lawsuit against Walgreens in February 2022, claiming the retailer had inflated prescription drug prices for years.
The insurer was awarded $642 million in private arbitration.
In May 2023, Walgreens asked the court to vacate an arbitrator's award of more than $642 million to Humana Health Plan in a drug-pricing dispute, calling the "staggering" sum the result of a "miscarriage of justice," according to Reuters.
Walgreens has faced other drug-price overcharge claims in other courts, the report said.
THE LARGER TREND
The price of drugs has come under the federal microscope, as dozens of pharmaceutical companies could be required to pay rebates to Medicare for price hikes on prescription drugs that went against the mandate of the Inflation Reduction Act.
Twitter: @SusanJMorse
Email the writer: SMorse@himss.org
