Negotiated prices, made possible by the Inflation Reduction Act, will lower costs for Wisconsin families and seniors
Thursday, February 22, 2024
MADISON, Wis. – In case you missed it, a new study details how Medicare’s drug price negotiation, which was made possible thanks to the Inflation Reduction Act, could lower prices of some critical prescriptions by thousands of dollars each month.
After the Inflation Reduction Act enabled Medicare to negotiate prices for the first time in the program’s history, Medicare selected the initial 10 prescription drugs for negotiation last year. Earlier this month, Medicare announced initial offers for negotiated prices, which would deliver significant savings to many families in Wisconsin and across the country.
The new analysis shows 30-day price reductions could be as much as $6,500, in the case of a life-saving cancer treatment, while many common heart and diabetes medications also show significant reductions:
According to the report, “Medicare drug price negotiation will meaningfully lower the prices Medicare pays for prescription drugs. Medicare and its Part D beneficiaries could save thousands on a 30-day supply of some of the negotiated drugs. Each year, Medicare will negotiate the prices of additional prescription drugs, totaling a cumulative 80 drugs by 2030. The benefits of drug price negotiation will only compound over the years, totaling $25 billion through 2031 and reducing beneficiary costs through lower premiums and cost sharing.”
“The Inflation Reduction Act is already lowering costs and helping families and seniors succeed,” said Opportunity Wisconsin Program Director Meghan Roh. “Giving Medicare the ability to negotiate for lower prescription drug prices will help even more Wisconsinites keep money in their pocket and be able to afford the prescriptions they need to stay healthy.”
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