Walgreens agreed to a $100 million settlement in a significant court settlement to solve charges that it overcharged customers and insurance companies for prescription medications. The case Russo et al. v. Walgreen Co. (Case No. 1:17-cv-02246), brought focus on current issues related to the company’s pricing strategies, especially those related to its Prescription Savings Club (PSC).
Although Walgreens has not admitted to any misconduct, the settlement shows as an respond to the issues raised regarding pricing fairness. Through this article, we will discuss Walgreens Settlement, including its fund distribution, eligibility, and process to claim settlement amount.
Walgreens $100 Million Settlement 2025
The reason of the lawsuit is Walgreens’ Prescription Savings Club, a discount program designed to providing lower prices for commonly used medications. The complainants claim that Walgreens failed to disclose the discounted PSC prices when reporting its “usual and customary” charges to insurance companies.
So, it is claimed that customers and insurers were charged excessive fees for prescribed medicines. According to the complaint, this misrepresentation led to excessive compensation from third-party payers and higher personal expenses for insured customers.
Walgreens Class Action Settlement Overview
Organization | Walgreens |
Program Name | Walgreens $100 Million Settlement |
Country | USA |
Settlement Amount | $100 Million |
Eligible Time Period | 1st January 2017 to 18th November 2024 |
Claim Submission Deadline | 17 April 2025 |
Payment Mode | Direct deposit/check |
Category | Government Aid |
Official Website | http://savingsclubsettlement.com/ |
Walgreens Response
Although Walgreens will be paying $100 million as a settlement amount, the company maintains its pricing model according to the existing laws and regulations. It claims that all the company’s operations have been following rules and regulation, and that the decision to settle the case has been taken only to avoid long legal battles. Walgreens clearly stated that they did not involve in any type of misconduct, but it agreed to a settlement to avoid the long legal battle cost and time.
Distribution of the Settlement Funds
The $100 million settlement will be split between third-party payers and individual consumers. The remaining $80 million has been set for insurance companies and other similar organizations that covered the cost of prescription medicines, while $20 million has been allocated for customers who used insurance to pay for prescribed medicines at Walgreens. The final distribution to individuals will depend on how many valid claims are filed and the total eligible amount of money spent on medication during that time.
Eligibility for the Walgreens $100 Million Settlement
- Those who used insurance for medicines at Walgreens between 1st January 2017 to 18th November 2024, might be eligible for compensation.
- Eligible customers must provide proof of purchase in order to be eligible for a certain amount of the Walgreens settlement.
- Acceptable proof includes pharmacy receipts, credit card statements, bank records, or other transaction proof.
- According to the settlement agreement, claims must be filed by 17th April in order to be accepted; late submissions will not be permitted.
How to Claim the Settlement Amount
Individuals must have to submit a Walgreens settlement claim form along with proof of medicines purchase, in order to claim settlement amount. Settlement claims must be submitted no later than 17th April (thursday), or they will not be considered.
Once the Walgreens settlement claims are reviewed and approved, compensation will be distributed based on the total number of valid submissions and the amount each person spent. The final approval hearing is scheduled for 9th October, after which payments will start to be processed.
FAQs
How will the Walgreens settlement funds be distributed?
$80 million goes to third-party payers, and $20 million to eligible individual consumers.
Who is eligible for the Walgreens settlement?
Anyone who used insurance to buy prescriptions at Walgreens between 1st Jan 2017 to 18th Nov 2004, with proof of purchase.
What is the last date to file a claim for the Walgreens settlement?
Walgreens Settlement claims must be submitted by 17th April; late submissions won’t be accepted.