Centene Becomes Target as Two States Rebid Medicaid Pacts

Centene Corp.’s handling of pharmacy benefits in its managed Medicaid contracts has now become the subject of separate investigations in two states. Following the news of Ohio’s attorney general suing Centene over an alleged breach of contract, it was reported that Mississippi’s AG is looking into the Medicaid insurer’s drug benefit practices. Meanwhile, Ohio has delayed announcing the winners of its competitive managed care procurement — which Centene has bid on — and Mississippi is preparing a rebid of its own.

As part of an overhaul of its Medicaid program, Ohio in January selected Gainwell Technologies to serve as the program’s sole pharmacy benefit manager that will be rewarded for patient wellness and health outcomes. The agency said it hopes to achieve greater transparency and accountability in its $3 billion Medicaid pharmacy program and “eliminate costly duplicative processes” with the use of a single PBM.

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