Centene shells out $66.5 million in latest Medicaid settlement

NCPA February 3, 2023

Indiana becomes the latest state (of many) to settle with Centene for overcharges to the state Medicaid program, reaching a whopping $66.5 million settlement agreement. Just last December, it was announced that both Oregon and Iowa entered into settlement agreements with Centene for overcharges to its state Medicaid program, reaching a $17 million settlement agreement and a $44 million settlement agreement respectively (Oregon settlement news and Iowa settlement news). This came on the heels of the company's settlement with Texas ($165.6 million), Massachusetts ($14 million), and Washington state ($33.3 million).

In the last two years, Centene entered settlement agreements with 13 states: Arkansas, Iowa, Illinois, Indiana, Kansas, Massachusetts, Mississippi, New Hampshire, New Mexico, Ohio, Oregon, Texas, and Washington. To date, Centene has paid close to $500 million to states for Medicaid overcharges. In 2021, it was announced that Centene had put aside $1.25 billion for settlements with states. Please share this information with your state policymakers as just another example of why Medicaid managed care programs need major reforms. These practices not only harm patients and pharmacies, but taxpayers as well. Also, NCPA has a resource with recommended Medicaid managed care pharmacy payment reforms.