False Claims Act settlements and judgments totaled more than $6.8 billion in fiscal year 2025, the highest annual amount on record, according to a Jan. 16 report from the Justice Department.
Six things to know:
1. The $6.8 billion total surpassed the previous high of more than $6.1 billion in 2014. Last year, recoveries totaled more than $2.9 billion.
2. More than $5.7 billion of the settlements and judgments were related to the healthcare industry according to the report. These recoveries restore funds to federal programs including Medicare, Medicaid and Tricare. Last year, $1.67 billion in settlements and judgments were related to healthcare.
3. The Justice Department said it continued to expand enforcement in three major areas of healthcare fraud in 2025: managed care, prescription drugs and medically unnecessary care.
4. The $5.7 billion represents recoveries arising only from federal losses, but in many cases, the Justice Department also helped recover additional funds for state Medicaid programs.
5. Whistleblowers filed a record 1,297 qui tam lawsuits in 2025.
6. Settlements and judgments since Congress strengthened the False Claims Act in 1986 now total more than $85 billion.
At the Becker's 5th Annual Fall Payer Issues Roundtable, taking place November 2–3 in Chicago, payer executives and healthcare leaders will come together to discuss value-based care, regulatory changes, cost management strategies and innovations shaping the future of payer-provider collaboration. Apply for complimentary registration now.