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Sanofi, Novo Nordisk, Eli Lilly Must Face Insulin Price Suit (1)

Feb. 20, 2020, 5:46 PMUpdated: Feb. 20, 2020, 8:51 PM

Sanofi-Aventis, Novo Nordisk Inc., and Eli Lilly & Co. must face part of two parallel lawsuits over their alleged scheme to overcharge for insulin while paying kickbacks for insurance coverage of their interchangeable drugs, a New Jersey federal judge ruled Thursday.

The suits accuse the drugmakers of inflating the official “list price” of insulin while the actual prices negotiated by pharmacy benefit managers remained basically flat thanks to secret massive “rebates” from the drug companies. PBMs are middlemen that administer insurance plans and decide what drugs they cover.

Because PBMs are reimbursed by insurers based on list price, ...