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The Statehouse News Bureau provides educational, comprehensive coverage of legislation, elections, issues and other activities surrounding the Statehouse to Ohio's public radio and television stations.

Ohio AG Settles With Pharmacy Benefits Manager For $88.3 Million

Ohio Attorney General Dave Yost at a press conference announcing the settlement with Centene. [Karen Kasler / Statehouse News Bureau]
Ohio Attorney General Dave Yost at a press conference announcing the settlement with Centene.

Ohio has settled a lawsuit filed just three months ago with a pharmacy benefits manager it accused of using subcontractors to overcharge Ohio’s Medicaid program.

Attorney General Dave Yost said Centene initiated the talks that led to the $88.3 million settlement.

“We didn’t seek out a settlement. Centene initiated the negotiations and said, ‘What’s it going to take to resolve this matter?’” Yost said in announcing the settlement.

His lawsuit accused Centene, through its Buckeye Health Plan, of double billing, inflating dispensing fees and claiming that they paid more to pharmacists than they actually did. Centene says in a statement the agreement denies any liability for these practices.

Yost said in response: “I will accept an apology note that has a dollar sign and many zeroes after it.”

In filing the suit, the state froze Centene’s $20 billion contract for managed care services for Ohio Medicaid.

Centene also settled a suit with Mississippi for $55 million. Yost says while he expects other states to sue, the settlement guarantees none will get more money than Ohio.

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