Skip to Primary Navigation

Skip to main content

CVS Caremark’s $95m penalty for Medicare drug overbilling

Photo: Joe Raedle/Getty Images

Julie DiMauro

2 min read
 Click to share on Facebook (Opens in new window/tab) Click to share on Twitter (Opens in new window/tab) Click to share on LinkedIn (Opens in new window/tab) Click to share on WhatsApp (Opens in new window/tab)

Whistleblower alleged Caremark reported higher costs of drugs to the government than it paid pharmacies for dispensing Medicare Part D drugs.

CVS Caremark has been ordered to pay $95m (which could rise to $285m if treble damages are imposed) after a federal judge found the pharmacy benefit manager improperly inflated Medicare Part D drug prices by failing to report required pharmacy discounts, violating the False Claims Act. 

The ruling follows a

, , , , , , ,

Get full access, free for a month

This is a Premium article. Start your 28-day free trial to continue reading and access all content on GRIP – no payment details required.

Start free trial Sign in

What’s included:

  • Every new article, plus our 5,000+ archive
  • Daily regulatory insight and guidance
  • Exclusive interviews and in-depth analysis
  • Coverage of industry-leading events and conferences
  • All podcasts and videos, featuring industry experts
  • The full set of Rules Navigator tools
  • An ad-free experience