April 4 (Reuters) - The U.S. Federal Trade Commission's
lawsuit against pharmacy benefit managers (PBMs) over insulin
pricing practices will likely move forward again after being
paused amid President Donald Trump's firing of the agency's two
Democratic commissioners.
The FTC earlier this week had paused the case, given that
Chairman Andrew Ferguson and fellow Republican Melissa Holyoak -
the two remaining FTC commissioners - had recused themselves
because of past work on PBM-related cases.
Ferguson said in a statement on Thursday evening that he had
consulted with FTC ethics officials and decided to unrecuse
himself so the case against UnitedHealth Group Inc's ( UNH )
Optum unit, CVS Health Corp's ( CVS ) CVS Caremark and Cigna
Corp's Express Scripts could move forward.
As Virginia's solicitor general, Ferguson had advised the
state's attorney general on whether to weigh in on a class
action against PBMs.
Ferguson is expected to ask the agency's in-house court to
resume the case.
The companies did not immediately respond to requests for
comment.
The paused case was the most visible fallout from Trump's
sudden dismissal of Democratic commissioners, Alvaro Bedoya and
Rebecca Kelly Slaughter, who say the move violates settled law
and are suing the Trump administration.
Holyoak had sued Optum, Caremark and Express Scripts in her
prior role as Utah's solicitor general. She said in a statement
on Friday that she would remain recused.
PBMs negotiate volume discounts and fees with drug
manufacturers on behalf of employers and health plans, create
lists of medications that are covered by insurance, and
reimburse pharmacies for prescriptions.
The FTC in September sued the three companies, which it says
together administer 80% of all prescriptions in the U.S.,
accusing them of unfairly limiting access to insulin drugs with
lower list prices and steering diabetes patients towards higher
priced insulin in order to reap millions of dollars in rebates
from pharmaceutical companies.