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What Is a Clawback?

Feb 23,2018

In your drugstore, the term “clawback” may mean that using insurance to pay for certain generic drugs could end up costing you more than the cash price of the medication. For instance, a prescription for amoxicillin may cost $166 instead of the cash price of $92, if you use insurance.

And drug stores such as CVS have no incentive to tell you about the price difference. That’s because Pharmacy Benefit Managers, who serve as the intermediaries between insurance companies and pharmacy chains, negotiate prices and receive a portion of the pharmacy’s sales. This is know as a clawback.

Customers are left paying the negotiated amount, even if that amount exceeds the price of the drug without insurance.

Our firm has been handling personal injury cases throughout the California Low Desert and High Desert communities for over 30 years. With a 95% success rate, the California personal injury attorneys at Walter Clark Legal Group will fight to hold those responsible for your loss accountable and win compensation to cover medical bills, lost wages, and pain and suffering. If you have been injured by a drug and want to discuss your legal options, contact us today for a free consultation with an experienced personal injury lawyer. We have offices in Indio, Rancho Mirage, Victorville, and Yucca Valley and represent clients through the entire California Low Desert and High Desert communities.

DISCLAIMER: The Walter Clark Legal Group blog is intended for general information purposes only and is not intended as legal or medical advice. References to laws are based on general legal practices and vary by location. Information reported comes from secondary news sources. We do handle these types of cases, but whether or not the individuals and/or loved ones involved in these accidents choose to be represented by a law firm is a personal choice we respect. Should you find any of the information incorrect, we welcome you to contact us with corrections.

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