Cigna Unit Sells Generic Drugs at Higher Prices, Report Says (1)

A little-known Cigna Group subsidiary that sells generic drugs charges prices that skew higher than many competing suppliers, according to a new analysis that raises questions about the company’s role in setting medication prices.

Cigna sells insurance and runs the country’s largest pharmacy benefit manager, which negotiates drug prices between manufacturers, health plans and pharmacies. Drug companies and politicians often blame pharmacy benefit managers for driving up the cost of medicines, but the businesses contend that they actually lower prices and that the drugmakers are the problem.

Cigna also owns Quallent Pharmaceuticals, a 4-year-old unit that sells its own versions ...