Insulin, PBM Lawsuits Seen as Alternative to Pricing Legislation

Litigation against insulin makers and companies managing prescription drug benefits is becoming an attractive tool for local governments aiming to alter the complex rebate system that attorneys and drug pricing analysts say fuels high patient costs.

State attorneys general in Arizona and Utah filed lawsuits last month against insulin manufacturers Eli Lilly & Co., Novo Nordisk A/S, and Sanofi SA, as well as pharmacy benefit managers CVS Caremark, Express Scripts, and OptumRX. The officials argue the companies have engaged in illegal pricing practices to artificially raise the price of insulin.

The states joined others ...