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On July 2, 2012, it was announced that TriWest lost its appeal to keep the West Region contract.<ref>{{cite press release | title = TriWest loses appeal to keep military health contract | publisher = USA Today | date = 2012-07-02 | url = https://www.usatoday.com/money/industries/health/story/2012-07-02/tricare-triwest-united-military/55989350/1 | accessdate = 2012-09-20}}</ref>
In September 2011, TriWest paid $10 million to settle a Justice Department lawsuit after whistle-blowers claimed TriWest "systematically defrauded" Tricare by billing the government higher rates than they had negotiated with health care providers. The lawsuit also said TriWest sent 3,000 claims through one location a day to intentionally bypass checks to avoid late-payment fees and that it paid claims for ineligible beneficiaries.<ref>{{Cite web|url=https://www.justice.gov/opa/pr/arizona-based-triwest-healthcare-alliance-corp-agrees-pay-10-million-resolve-false-claims-act|title = Arizona-Based TriWest Healthcare Alliance Corp. Agrees to Pay $10 Million to Resolve False Claims Act Allegations Concerning the TRICARE Program|date = 9 September 2011}}</ref><ref>{{cite web |title=Military health care carrier hit with $10M fine |url=http://usatoday30.usatoday.com/news/washington/story/2012-01-27/triwest-military-health-care-fraud/52908332/1
In September 2017, VA Inspector General Michael Missal issued a memorandum that listed four major "errors" that had resulted in excess payments to TriWest. These were:
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