Wisconsin couple sues Walgreens and Optum Rx, saying son died after $500 price rise for asthma meds

Written by: Sachin Mane

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A couple from Wisconsin is suing Walgreens and a pharmacy benefits management company, claiming that their son died after he couldn’t afford a sudden increase in the cost of his asthma medication.

Shanon and William Schmidtknecht, from Poynette, filed the lawsuit in federal court in Milwaukee on January 21, the anniversary of their 22-year-old son Cole’s death.

The lawsuit states that Cole, who had asthma for most of his life, relied on daily doses of Advair Diskus or its generic alternatives to manage his condition. On January 10, 2024, when Cole went to a Walgreens pharmacy in Appleton to refill his prescription, he was told the cost had risen dramatically from $66 to $539 out-of-pocket. Unable to afford the price, he left the pharmacy without the medication. He tried to manage his asthma with his rescue inhaler, but a few days later, he suffered a fatal asthma attack, according to the lawsuit.

The Schmidtknechts claim that OptumRX, the pharmacy benefits management company, broke Wisconsin law by increasing the cost of the medication without a valid medical justification and by not giving the required 30-day advance notice of the price hike.

Pharmacy benefits managers, like OptumRx, serve as intermediaries between health insurance companies, prescription drug manufacturers, and pharmacies. According to the lawsuit, OptumRx manages prescription claims for over 66 million people in the U.S.

The Schmidtknechts argue that Walgreens staff did not provide any alternatives to help Cole afford his regular medication. They claim the pharmacy did not suggest cheaper options or generics, nor did they contact OptumRx to request an exception on Cole’s behalf. Additionally, the staff failed to reach out to Cole’s doctor to ask for an exception.

The lawsuit is seeking unspecified damages.

One of the family’s lawyers, Michael Trunk, condemned the actions of OptumRx and Walgreens, stating, “The evidence in this case will show that both OptumRx and Walgreens put profits first, and are directly responsible for Cole’s death.”

OptumRx representatives did not immediately respond to requests for comment on Wednesday. However, the company had issued a statement in April expressing sympathy to the Schmidtknecht family. The statement mentioned that a review of Cole’s claims showed that on January 10, the day he visited the pharmacy, he had purchased a different asthma medication, generic Albuterol, for a $5 co-pay. OptumRx noted that this medication was also dispensed to Cole in October 2023. The company stated that his case was handled in accordance with standard industry practices and his insurance plan.

However, Cole’s attorney, Michael Trunk, clarified that the $5 generic prescription was for his rescue inhaler, not the Advair Diskus inhaler that Cole used daily. Trunk explained that Cole was unable to afford his Advair Diskus prescription due to its sudden price increase.

Walgreens did not immediately reply to a request for comment regarding the lawsuit.

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