Walgreens $100 Million Class Action Settlement, How to Apply and Claim Your Share
Walgreens has agreed to settle a class action lawsuit for $100 million over claims that it overcharged insured customers for prescription drugs. The lawsuit, filed in the United States District Court for the Northern District of Illinois (Case No. 1:17-cv-02246), accuses Walgreens of inflating drug prices, leading to insured patients paying more than those who used the company’s Prescription Savings Club.
What is the Walgreens Prescription Savings Club?
The Walgreens Prescription Savings Club allowed customers to purchase more than 500 commonly prescribed generic drugs at discounted prices. For a small annual fee, club members could get medications at prices as low as $5, $10, or $15 for 30-day prescriptions, and $10, $20, or $30 for 90-day prescriptions. However, insured patients were reportedly charged more for the same prescriptions, with prices inflated due to Walgreens’ failure to consider these discounted rates when determining the “usual and customary” price for prescriptions.
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Allegations and Settlement Details
The class action lawsuit claims that Walgreens did not account for Prescription Savings Club prices when submitting its “usual and customary” prices to insurers. As a result, insured customers were overcharged in the form of higher copays and deductibles. The lawsuit was filed in 2017 and involved a lengthy legal process. Walgreens, however, denied any wrongdoing but agreed to settle the case to avoid prolonged litigation.
Settlement Amount and Distribution
The settlement totals $100 million, which will be distributed to eligible class members who used prescription insurance benefits to fill prescriptions at Walgreens between January 1, 2007, and November 18, 2024. The settlement also includes third-party payers, such as insurance companies, who are entitled to a proportional share of the fund.
- 20% of the settlement fund will be allocated to individual claimants.
- 80% of the fund will be shared with third-party payers.
Ending of the Prescription Savings Club
As part of the settlement, Walgreens has agreed to terminate its Prescription Savings Club program, which was at the center of the dispute.
Eligibility for the Settlement
If you used prescription insurance benefits to purchase medications at Walgreens during the period from January 1, 2007, to November 18, 2024, you may be eligible for a payout from the settlement.
Who is Eligible?
- Consumers who paid for one or more prescriptions using insurance benefits at Walgreens.
- Third-party payers (like insurance companies) who reimbursed Walgreens for prescriptions covered under insurance.
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What Do I Need to File a Claim?
To receive payment, you must submit a valid claim form. You will need to provide proof of payment, such as:
- Receipts
- Canceled checks
- Invoices
- Transaction records
How to File a Claim
To claim your share of the settlement, follow these steps:
- Visit the Settlement Website: Go to SavingsClubSettlement.com.
- Complete the Claim Form: Fill out the online claim form with accurate details.
- Submit Proof of Payment: Attach supporting documents such as receipts or other proof of payment.
- Submit Your Claim: Ensure you submit your claim form by April 17, 2025.
Claim Form Deadline
The deadline to submit your claim is April 17, 2025. If you miss this deadline, you may lose the opportunity to receive any settlement funds.
Opting Out or Objecting to the Settlement
What Does It Mean to Opt Out?
If you choose to opt out of the settlement, you will not receive any payment, but you will retain the right to pursue legal action independently against Walgreens.
- Deadline to Opt Out: You must opt out by March 18, 2025.
Can I Object to the Settlement?
If you disagree with any terms of the settlement, you have the right to object to the settlement before the final approval hearing.
- Deadline to Object: March 18, 2025.
- How to Object: You must submit a written objection to the court explaining why you disagree with the settlement.
What Happens if I Do Nothing?
If you do nothing, you will automatically remain part of the class and may be entitled to a payment, but you will not be able to pursue a separate lawsuit for the same claims.
Important Dates to Remember
- Claim Form Submission Deadline: April 17, 2025
- Opt-Out/Objection Deadline: March 18, 2025
- Final Approval Hearing: September 10, 2025
Additional Questions and Answers
Why Did I Get a Notice About This Settlement?
You likely received a notice because you are a potential class member, meaning you used prescription insurance benefits to fill prescriptions at Walgreens between January 1, 2007, and November 18, 2024.
What is the Settlement Amount I Will Receive?
The amount you will receive depends on how much you paid for eligible prescriptions during the class period and the total number of claims filed. The more eligible claims that are filed, the smaller the share each individual may receive.
Can I Sue Walgreens for the Same Issue Later?
If you do not exclude yourself from the settlement, you may not be able to pursue a separate lawsuit against Walgreens for the same issue.
Can I Get Money From the Settlement if I Opt Out?
No, if you opt out, you will not receive any money from the settlement. However, you will retain the right to pursue your own legal claims against Walgreens.
How Will the Lawyers Be Paid?
Class action lawyers will be paid from the settlement fund. The attorneys’ fees will be subject to court approval, and the settlement terms specify that the legal fees must be reasonable.
Where Can I Get More Information?
If you have any further questions, you can visit the official settlement website at SavingsClubSettlement.com, or contact the settlement administrator at 877-888-8386 or [email protected].
Conclusion
The Walgreens class action lawsuit highlights significant issues with prescription drug pricing and transparency. Although Walgreens denies any wrongdoing, the $100 million settlement provides a resolution for affected consumers who were overcharged for prescriptions. If you believe you are eligible, make sure to submit your claim before the deadline to ensure you receive your share of the settlement.
