08/15/2024

Deals Struck to Cut Prices on 10 of Medicare’s Most Costly Drugs, White House Says

These prices will impact drugs used by millions of older Americans

The Biden administration said Thursday that drug price negotiations will knock hundreds of dollars — in some cases thousands — off the list prices of 10 of Medicare’s most popular and costliest drugs.

The discounts, agreed to after months of negotiations with drug manufacturers, range between 38 percent and 79 percent on the medication's list price, which is the cost of medication before discounts or rebates are applied — not the price people actually pay for prescriptions.

Medicare spent $50 billion covering the drugs last year and taxpayers are expected to save $6 billion on the new prices, which do not go into effect until 2026. Older adults could save as much as $1.5 billion in total on their medications in out-of-pocket costs. Administration officials released few details about how they arrived at those calculations.

Please select this link to read the complete article from WBNS-10TV.