Biden Administration Announced Lower Out-of-Pocket Costs for 43 Drugs Subject to Penalties
Washington, DC — Today, the Biden administration announced that the number of drugs subject to the Inflation Reduction Act’s inflation penalties has doubled. This means that 43 prescription drugs had price hikes outpacing the annual rate of inflation last quarter, and now these drug manufacturers must pay Medicare a rebate and Medicare beneficiaries will see lower coinsurance costs. According to CMS, beneficiaries could save up to $449 per dose on these drugs. In response, Protect Our Care Executive Director Brad Woodhouse issued the following statement:
“This announcement is an important reminder that the Inflation Reduction Act is working for the American people. Drug companies are finally being held accountable when they jack up the price of prescription drugs in order to pad their profits. For years, seniors from all backgrounds have faced prescription drug prices that rise so fast they can’t keep up, and too many have been forced to choose between buying food or prescription drugs that keep them alive. Now, seniors purchasing some of the most expensive medications can breathe a sigh of relief knowing that greedy drug companies are being held accountable by the Biden administration.”