The Department of Health and Human Services (HHS) has released a new list of Medicare Part B drugs that will have lower coinsurance rates from April 1 to June 30 if drugmakers raise their prices faster than the rate of inflation.
Under the Medicare Prescription Drug Inflation Rebate Program, some beneficiaries that use one or more of the 41 rebatable drugs on the list may save between $1 and $3,575 per average dose depending on their coverage, the HHS said. The agency estimates that 763,700 people with Medicare use one or more of the 41 drugs annually.
Last December, the agency released its first-quarter 2024 list of rebatable drugs under the program. There were 48 drugs in that list and Medicare coinsurance for certain Part B drugs on the list were expected to save some beneficiaries up to $2,786 per dose, HHS said at the time.
From just $107.88 $24.99 for Kiplinger Personal Finance
Be a smarter, better informed investor.
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Drug companies are required to pay the rebates for certain drugs to Medicare when prices increase faster than inflation as part of the Biden administration’s Inflation Reduction Act, which established the program.
HHS Secretary Xavier Becerra said in a statement that the administration “will continue to use every lever we have to lower healthcare costs for more Americans.”
Drug price talks continue
In addition, drugmakers participating in Medicare's price talks on the first 10 Part D drugs sent counteroffers to the agency earlier this month, following Medicare's initial offer in February.
The drugs, covered under Part D, are: Eliquis, Jardiance, Xarelto, Januvia, Farxiga, Entresto, Enbrel, Imbruvica, Stelara and Fiasp/NovoLog.
Negotiations are slated to end August 1. New negotiated prices for the drugs expected to be announced by September 1, with an effective date of January 2026.
Guidance on Medicare programs
The Centers for Medicare & Medicaid Services (CMS) provides a variety of guidance documents on the rebatable drugs, price negotiations with drugmakers, and other Medicare programs. For more information on reducing coinsurance for certain Part B rebatable drugs under the Medicare prescription drug inflation rebate program, see this CMS fact sheet.
HHS also has launched LowerDrugCosts.gov, a new website for Medicare beneficiaries with information related to the drug pricing provisions under the Inflation Reduction Act as well as resources for Medicare enrollees and other interested parties.
Related Content
-
4 Career Moves to Make Now if You're Worried About a RecessionWorried about a recession? These steps to protect your job prospects will help you professionally whether a downturn develops or not.
-
How StoryCorps Works and How You Can Tell Your StoryStoryCorps has recorded conversations between thousands of people, and anyone can participate. National facilitator Alan Jinich explains how to share your story.
-
Vacation Couture: Why Wealthy Americans Are Flying to Europe to Save on LuxuryTariffs are making high-end shopping in the U.S. pricier — so savvy travelers are heading overseas, where VAT refunds and favorable exchange rates can offset the extra cost.
-
I'm a Retirement Psychologist: Here's Why Doing What You 'Ought' in Retirement Beats Doing Whatever You WantTrue retirement freedom isn't about simply doing whatever you want, but about finding purpose and direction through commitments that align with your deepest values and allow you to contribute meaningfully.
-
Tactical Roth Conversions: Why 2025-2028 Is a Critical Window for RetireesThe One Big Beautiful Bill (OBBB) extended today's low tax brackets, but they may not last. Here's how smart planning now can prevent costly tax surprises later.
-
Ready to Retire? It's Not Too Late to Convert to a Roth IRAMillions of Americans are turning 65 this year. If you're retiring soon, don't dismiss the idea of a Roth conversion — it could still be a smart move even now.
-
Think Twice Before Getting a Credit Card Cash AdvanceA credit card cash advance can be a quick solution when you need emergency help with money. But you'll pay for the convenience with high interest and fees.
-
5 Home Run Hotel Packages Every Baseball Fan Will LoveFrom Fenway to Yankee Stadium, these bundled hotel-and-baseball deals combine savings, perks and unforgettable fan experiences.
