AbbVie agrees to pay $24 million to resolve Humira California lawsuit


© Reuters. FILE PHOTO: A trader works by the post that trades AbbVie on the floor of the New York Stock Exchange

(Reuters) – AbbVie Inc (N:) has agreed to pay $24 million (18.3 million pounds) to settle a lawsuit that alleged insurance fraud by the drugmaker in promoting its blockbuster drug Humira, California’s insurance regulator said on Thursday.

AbbVie denied the allegations, but agreed to look into how Humira is marketed to health care providers in the state, the regulator said

The Insurance Commissioner of California said the company also agreed to disclose that AbbVie, and not a medical provider, paid the registered nurses who are employed as so-called AbbVie Ambassadors to interact with patients about Humira.

Insurance Commissioner Ricardo Lara said AbbVie has paid $24 million to California and the whistleblower, a registered nurse who brought the case to the department’s attention in October 2016.

AbbVie said in a statement it was glad the settlement allows its nurse ambassador program to continue with no significant changes and noted that some parallel cases have been dismissed in other courts.

Humira, the company’s flagship arthritis treatment, brought in sales of $3.97 billion in the latest quarter. It has been the major driver of AbbVie’s growth in recent years but faces expirations of its patents in U.S. in 2023.

Among other things, the regulator had alleged AbbVie violated California’s Insurance Frauds Prevention Act by unlawfully providing free and valuable professional goods and services to physicians to induce and reward Humira prescriptions.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

READ  Powell Says Federal Reserve Crossed Red Lines to Help Economy

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





READ SOURCE

LEAVE A REPLY

Please enter your comment!
Please enter your name here