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Pennsylvania sues Eli Lilly, CVS Caremark, and others, alleging insulin prices were inflated 1,000%

The case could bring direct financial recovery and add pressure on the companies named in the suit.

A CVS pharmacy building with red awnings and signage.

Photo Credit: iStock

A new Pennsylvania lawsuit targets major insulin manufacturers and pharmacy benefit managers, accusing them of working in concert to significantly increase the price of a drug that many people need to stay alive.

Here's what to know

According to Attorney General Dave Sunday, the conduct at issue drove insulin prices to more than 10 times their prior level while leaving Pennsylvanians with higher bills at the pharmacy.

In the Office of Attorney General announcement, Sunday said the case names Eli Lilly and Company, Novo Nordisk Inc., and Sanofi-Aventis US LLC, as well as pharmacy benefit managers including Express Scripts, CVS Caremark, and Optum Rx. The filing was made in Commonwealth Court.

The state's Antitrust Section says the lawsuit includes claims under Pennsylvania's consumer protection statute and also alleges unjust enrichment and civil conspiracy. In broad terms, Pennsylvania contends the companies coordinated the insulin market rather than competing on what patients would pay.

The attorney general's office says about 1.3 million people in Pennsylvania are living with diabetes, and another 3.5 million are prediabetic, suggesting the alleged pricing conduct could touch families statewide.

More background

The state argues that the amounts patients paid at the counter resulted from coordinated choices by the companies, not simply normal market operations.

Insulin is a life-saving medication, so many people can't delay or work around higher out-of-pocket costs. When the price of an essential drug spikes, households may be forced to absorb a cost they can't avoid.

The attorney general's office said diagnosed diabetes costs the state an estimated $16.4 billion annually, with pricing decisions made by a small group of major companies rippling through family budgets and the broader health care system.

What's being done?

Beyond monetary damages, Sunday's office said the suit asks the court for injunctive relief to change how insulin pricing is structured.

The goal is to push prices back toward fair market levels and broaden patient choice. More broadly, the case seeks to change the system that helps determine what people pay for insulin.

The state is also pursuing restitution for Pennsylvanians it says were harmed, along with civil penalties and costs. If Pennsylvania prevails, the case could bring direct financial recovery and add pressure on the companies named in the suit.

"Millions of Pennsylvanians have diabetes or prediabetes, and they were all potentially harmed by this scheme to artificially inflate pricing to maximize company profits," Sunday said. "Our Antitrust Section will continue to hold accountable companies, large and small, that prioritize profits over public access to affordable life-saving medication and care."

Where can I learn more?

Pennsylvania's insulin case joins a wave of lawsuits alleging that major companies misled the public to protect profits, as these articles further examine. 

• Johnson & Johnson and Kenvue faced claims over empowerment marketing tactics tied to PFAS bandages.

• In Australia, Santos confronted a world-first greenwashing trial over its environmental messaging.

• Pacific Northwest officials added NW Natural to a $50 billion lawsuit over heat-wave harms.

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