CVS, UnitedHealth, and Cigna Sue FTC Over Insulin Pricing Case; UnitedHealth Shares Rise 1.16%

CVS Health, UnitedHealth Group, and Cigna have initiated a lawsuit against the Federal Trade Commission (FTC), claiming that the agency's case targeting pharmacy benefit managers (PBMs) over high insulin prices is unconstitutional. This legal action marks a significant escalation in the ongoing conflict between these major PBMs and the FTC. The suit alleges that FTC Chair Lina Khan and her fellow Democratic commissioners have unfairly characterized PBMs as engaging in 'illegal rebate schemes' that amount to 'bribes.' This lawsuit follows a broader trend of companies challenging the FTC's authority, particularly in light of the U.S. Supreme Court's June ruling in SEC v. Jarkesy. Following the announcement of the lawsuit, shares of UnitedHealth Group rose 1.16% in premarket trading.