CVS and Walgreens have agreed to pay a total of $10.7 billion to resolve charges that they failed to effectively monitor narcotic painkiller prescriptions, adding to America’s opioid addiction issue.
The monies will be allocated to states, local governments, and federally recognized tribes for opioid epidemic prevention and treatment programs. CVS will pay states and political subdivisions $4.9 billion and tribes around $130 million. Walgreens will pay $4.95 billion in damages, plus more than $750 million in attorney’s fees and charges. The payments will be made in instalments.
The pharmacy chains have also committed to creating comprehensive controlled substance compliance processes that will necessitate additional levels of opioid prescription evaluations as well as the implementation of new obligatory training programs.
According to the charity State Health Access Data Assistance Center, the overdose death rate from all opioids tripled between 2011 and 2020, rising from 7.3 to 21.4 deaths per 100,000 persons. Even while prescription drug deaths have tapered down, deaths from heroin, which is illegal, and fentanyl, a routinely prescribed painkiller, have increased, according to the group.
“When people can’t simply stop their consumption, as in the case of addiction, they often turn to substitutes,” stated Colin Planalp, a research fellow at the centre. “With opioids, that, unfortunately, left many people to seek out substances such as heroin on the illicit market, where the purity and potency are unreliable, making them even riskier than prescription opioids.
And once drug traffickers embraced the potent opioid fentanyl, it pervaded the illegal drug trade and became entangled with non-opioid substances, such as cocaine and methamphetamine.”
The settlement attempt was led by Illinois Attorney General Kwame Raoul.
“The opioid epidemic has tragically affected too many Illinois families that have experienced addiction or even the death of a loved one,” he continued in a statement. “This $10.7 billion settlement with Walgreens and CVS builds upon the important progress we’ve already achieved with previous settlements, but more importantly, it holds both companies accountable.”
Neither business admitted wrongdoing as part of the deal.
“We are pleased to resolve these longstanding claims and putting them behind us is in the best interest of all parties, as well as our customers, colleagues and shareholders,” said Thomas Moriarty, chief policy officer and general counsel, CVS Health, in a release. “We are committed to working with states, municipalities and tribes, and will continue our own important initiatives to help reduce the illegitimate use of prescription opioids.”
“As one of the largest pharmacy chains in the nation, we remain committed to being a part of the solution, and this settlement framework will allow us to keep our focus on the health and wellbeing of our customers and patients while making positive contributions to address the opioid crisis,” said Walgreens in a statement.
