LifeWallet Announces a New Pharmaceutical Antitrust Settlement Totaling $3.1 Million
August 19 2024 - 2:00AM
MSP Recovery, Inc. d/b/a LifeWallet (NASDAQ: LIFW) (“LifeWallet” or
“the Company”) announces a new pharmaceutical antitrust settlement
in the amount of $3.1 million.
- Company also announces a drive
to secure agreements with health plans, property & casualty
insurers, attorneys, and healthcare providers, including hospital
systems
- This subscription licensing is
expected to generate revenue through fees charged on savings from
unnecessary Medicare secondary payments
- This is all part of
LifeWallet’s clearinghouse system, through its exclusive healthcare
partnership with Palantir Technologies, Inc.
Details of the Settlement
MSP Recovery Law Firm LLC, acting on behalf of
LifeWallet, alleged that the manufacturer had increased the price
of a drug in violation of antitrust laws. The settlement is in the
amount of $3.1 million, which is expected to be collected in the
third quarter of 2024.
As part of LifeWallet’s owned claims portfolio,
the Company has claims against pharmaceutical and medical device
manufacturers based on allegations of defective products or
anti-competitive pricing. LifeWallet has ongoing claims against
multiple manufacturers.
LifeWallet is also currently in negotiations
with multiple other property & casualty (P&C) insurers to
resolve claims as well as negotiating with other product
manufacturers on both pharmaceutical products as well as medical
device cases. LifeWallet notes these settlements are not a
guarantee that LifeWallet’s portfolio of assigned claims (owed by
other Primary Payers1 and manufacturers) can be settled with the
same or similar terms.
LifeWallet/Palantir Clearinghouse
Solution
LifeWallet has implemented a drive to secure
agreements with health plans, property and casualty insurers,
attorneys, and healthcare providers, including hospital systems.
This subscription licensing is expected to generate revenue through
fees charged on savings from unnecessary Medicare secondary
payments. This is all part of LifeWallet’s clearinghouse system,
through its exclusive healthcare partnership with Palantir
Technologies, Inc. (NYSE: PLTR), enhancing LifeWallet’s Chase to
Pay model. The clearinghouse solution utilizes the Palantir Foundry
platform, AI tools, natural language processing, and machine
learning, resulting in the development of a sophisticated data
analytics system that captures and manages healthcare data.
The LifeWallet/Palantir clearinghouse builds upon
previously announced initiatives (“MSP Recovery and Palantir to
Transform Connectivity Across the U.S. Healthcare System”)
providing real-time data driven solutions that focus on data from
patients, attorneys, healthcare providers, and healthcare insurers,
as well as property and casualty insurers, all designed to build an
expansive repository of data that can be used to determine medical
conditions as well as payer obligations.
The system was instrumental in the recent class
certification in June 2024 against USAA Property and Casualty
Company, exemplifying the breadth and depth of the systemic issues
plaguing the healthcare system.
LifeWallet’s CEO John H. Ruiz commented, “We
continue taking steps in the right direction, advancing projects
that could provide a steady stream of revenue, in addition to the
litigation model that oftentimes takes years to materialize.”
Forward Looking Statements
This press release contains forward-looking
statements within the meaning of the federal securities laws.
Forward-looking statements may generally be identified by the use
of words such as “anticipate,” “believe,” “expect,” “intend,”
“plan" and “will” or, in each case, their negative, or other
variations or comparable terminology. These forward-looking
statements include all matters that are not historical facts,
including for example statements regarding potential future
settlements. By their nature, forward-looking statements involve
risks and uncertainties because they relate to events and depend on
circumstances that may or may not occur in the future. As a result,
these statements are not guarantees of future performance or
results and actual events may differ materially from those
expressed in or suggested by the forward-looking statements. Any
forward-looking statement made by the Company herein speaks only as
of the date made. New risks and uncertainties come up from time to
time, and it is impossible for the Company to predict or identify
all such events or how they may affect it. the Company has no
obligation, and does not intend, to update any forward-looking
statements after the date hereof, except as required by federal
securities laws. Factors that could cause these differences
include, but are not limited to, the Company’s ability to
capitalize on its assignment agreements and recover monies that
were paid by the assignors; the inherent uncertainty surrounding
settlement negotiations and/or litigation, including with respect
to both the amount and timing of any such results; the success of
the Company's scheduled settlement mediations; the validity of the
assignments of claims to the Company; negative publicity concerning
healthcare data analytics and payment accuracy; and those other
factors included in the Company’s Annual Report on Form 10-K,
Quarterly Reports on Form 10-Q and other reports filed by it with
the SEC. These statements constitute the Company’s cautionary
statements under the Private Securities Litigation Reform Act of
1995.
About LifeWallet
Founded in 2014 as MSP Recovery, LifeWallet has
become a Medicare, Medicaid, commercial, and secondary payer
reimbursement recovery leader, disrupting the antiquated healthcare
reimbursement system with data-driven solutions to secure
recoveries from responsible parties. LifeWallet provides
comprehensive solutions for multiple industries including
healthcare, legal, education, and sports NIL. For more information,
visit: LIFEWALLET.COM
________________________
1 “Primary Plans” or “Primary Payers,” when used in the Medicare
Secondary Payer context, means “any entity that is or was required
or responsible to make payment with respect to an item or service
(or any portion thereof) under a primary plan. These entities
include, but are not limited to, insurers or self-insurers, third
party administrators, and all employers that sponsor or contribute
to group health plans or large group health plans.” 42 C.F.R. §
411.21.
CONTACTS
MediaICR,
Inc.MSP@icrinc.com
InvestorsInvestors@LifeWallet.com
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