Medicare to Negotiate Prices for Ten Drugs
Medicare is about to begin negotiating prices for prescription drugs. These negotiations will occur in 2023 and 2024, and any negotiated prices will become effective starting in January 1, 2026.
The negotiations will begin with the following drugs:
Fiasp, Fiasp FlexTouch, Fiasp PenFill, NovoLog, NovoLog FlexPen, NovoLog Penfill
Part D enrollees spent about $3.4 billion in co-insurance on these drugs in 2022. Between June 1, 2022 and May 31, 2023, these prescriptions accounted for 20% of the total Part D gross covered cost- or about $50.5 billion.
CMS will publish any agreed-upon negotiated prices for the selected drugs by September 1, 2024. In future years, CMS will select for negotiation up to 15 more drugs covered under Part D for 2027, up to 15 more drugs for 2028 (including drugs covered under Part B and Part D), and up to 20 more drugs for each year after that, as outlined in the Inflation Reduction Act.
While this is good news that help is on the horizon for Medicare beneficiaries, one can't help but wonder when the same will be done for individual and employer sponsored plans.
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