Medicine

These 2 Major Companies Are Taking A Stand Against The $600 EpiPen

Health insurance giant Cigna and CVS Health have made big moves against the pricey brand-name allergy treatment.

These 2 Major Companies Are Taking A Stand Against The $600 EpiPen
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Two major health companies are taking a stand against the pricey brand-name EpiPen.  

Health insurance giant Cigna announced this week it has dropped its coverage of Mylan's $600 allergy treatment in favor of the half-price generic version. 

A spokesperson for Cigna said in a statement: "It is positive news for our customers. The generic version, available now in pharmacies, has the same drug formulation and device functionality as the branded medication, but at a substantial cost savings."

And on the same day, CVS Health said it will start offering customers the generic version of Adrenaclick, one of EpiPen's biggest rivals, for just over $100.

EpiPen Maker May Have Cheated Government Out Of Millions Of Dollars
EpiPen Maker May Have Cheated Government Out Of Millions Of Dollars

EpiPen Maker May Have Cheated Government Out Of Millions Of Dollars

Mylan has been accused of classifying EpiPens as a generic drug to pay a smaller rebate to Medicaid.

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The drugstore chain said it "recognized that there was an urgent need in the marketplace for a less expensive epinephrine auto-injector for patients with life-threatening allergies."

Mylan drew major criticism last year after news broke that the pharmaceutical company had hiked prices of the EpiPen roughly 400 percent in less than a decade. 

But Mylan's CEO told CNBC this week that the company had learned from its decision.

"It absolutely has made Mylan a stronger company, me a stronger leader," Mylan CEO Heather Bresch said.