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Thursday, July 9, 2026

CVS settles for $36.5M over false Medicaid insulin claims, Minnesota recovers $400K - FOX 9 Minneapolis-St. Paul

ST. PAUL, Minn. (FOX 9) - Minnesota Attorney General Keith Ellison announced a settlement with CVS, holding the pharmacy chain accountable for years of alleged over billing related to insulin pens.

CVS settles allegations of overbilling Medicaid for insulin

What we know:

Ellison and a coalition of 37 attorneys general, along with the federal government, reached a $36.5 million national settlement with CVS Pharmacy, Inc. Minnesota will receive more than $850,000, including over $400,000 in direct restitution to the state’s Medicaid program.

The allegations state that from 2010 through 2020, CVS intentionally over billed government healthcare programs — including Medicare, Medicaid, TRICARE and the Federal Employees Health Benefits Program — by submitting false claims for insulin pens. The company accepted responsibility for requesting and receiving reimbursement for ineligible refills, dispensing more insulin pens than needed, and under-reporting the days of supply.

"Insulin isn’t a luxury, it’s a medication people need to live, and Minnesota taxpayers generously help pay for insulin for Minnesotans who can’t afford to pay for it on their own. This is a vital social compact that CVS deliberately broke — along with breaking federal law — when it knowingly over billed taxpayers for insulin it dispensed. This resolution should be a warning to any corporation that defrauds Medicaid that we will hold them accountable," said Ellison.

Some CVS pharmacies distributed insulin in...



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