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Lawmakers Target the Power of Health Insurance Giants
The New York Times • • business
Key Points:
- Arkansas and Tennessee have passed laws aiming to prevent major insurance companies from managing prescription benefits while operating retail and mail-order pharmacies, with similar legislation proposed elsewhere.
- UnitedHealth Group, CVS Health, and Cigna are aggressively opposing these laws through lawsuits, lobbying efforts, and advertising campaigns.
- CVS quickly sued to block Tennessee’s new law after it was signed, followed by additional lawsuits from UnitedHealth, Express Scripts, and industry trade groups.
- The companies argue that the laws will reduce patient access to pharmacies and increase prescription drug costs, while supporters contend that breaking up these conglomerates would lower prices by curbing anti-competitive practices.
