The federal government’s lawsuit against the tobacco industry once again raises the possibility that cigarette makers will have to file insurance claims, attorneys and analysts say.
According to press reports, the suit charges that for years the tobacco industry fraudulently misled American smokers about the harmful effects of smoking and the addictive qualities of nicotine. It seeks reimbursement of health care expenses paid out by the federal government through Medicare for the elderly and for health care expenses for military personnel and government employees.
The suit seeks $20 billion a year in damages from the tobacco companies, which comes on top of the $240 billion settlement the industry already made with 46 state attorneys general.
