CVS, UnitedHealth, Cigna sue to block FTC case over insulin prices

Core Argument - CVS Health, UnitedHealth Group, and Cigna have filed a lawsuit against the Federal Trade Commission (FTC), claiming that the agency's case against drug supply chain middlemen regarding high insulin prices is unconstitutional [1][3]. Group 1: Legal Proceedings - The FTC sued CVS's Caremark, Cigna's Express Scripts, and UnitedHealth's Optum Rx in September, accusing them of using a rebate system that inflates insulin costs for Americans [2]. - The companies argue that the FTC's administrative process violates their due process rights under the Fifth Amendment and that the claims should be litigated in federal court [3][4]. - The complaint describes the FTC's process as "fundamentally unfair," asserting that the administrative law judge and commissioners are insulated from democratic accountability [4]. Group 2: Industry Context - Pharmacy benefit managers (PBMs) like Caremark, Express Scripts, and Optum Rx negotiate rebates with drug manufacturers, reimburse pharmacies, and create medication coverage lists, collectively administering about 80% of the nation's prescriptions [5][7]. - The lawsuit follows a demand from the companies for FTC Chair Lina Khan and two other commissioners to recuse themselves from the case due to alleged bias against PBMs [6].