February 10, 2023

Centene to Pay Indiana $66.5 Million in Latest Medicaid Overbilling Settlement

Lori Kalani, Bernard Nash

Cozen O'Connor

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Cozen O'Connor

Indiana AG Todd Rokita reached a settlement with pharmacy benefit manager (PBM) Centene Corporation and its subsidiaries (collectively, “Centene”) in connection with alleged overcharges by Centene to Indiana’s Medicaid program for pharmaceutical costs.
According to the AG’s office, Centene allegedly inflated dispensing fees while serving as a PBM and failed to disclose true pharmacy benefits and services costs, causing overcharges to Indiana’s Medicaid program.
Under the terms of the settlement, Centene will pay $66.5 million to the state. Although it made no admission of liability, the company also acknowledged an obligation to comply with the requirements of Indiana’s laws while serving as a PBM in the state.
Indiana is the latest of several states to settled with Centene regarding Medicaid overbilling allegations, including the company’s recent $44.4 million settlement with Iowa.

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