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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>
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: Duplicate Errors–Payments for medical claims that have been paid more than once; Other Health Insurance8 (OHI) Errors–Payments that were not adjusted for the amount OHI was responsible to pay the provider; Pass-Through Errors–Payments to reimburse the TPA that were more than the TPA paid the provider and; Rate Errors–Payments that did not use the appropriate Medicare or contract adjusted rate. Missal stated in his memorandum that duplicate payments alone racked up almost $40 million in overpayments to TriWest<ref>Department of Veterans affairs Memorandum. https://www.va.gov/oig/pubs/admin-reports/VAOIG-17-00000-379.pdf</ref>
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