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
-
Stocks at New Highs as Shutdown Drags On: Stock Market TodayThe Nasdaq Composite, S&P 500 and Dow Jones Industrial Average all notched new record closes Thursday as tech stocks gained.
-
Government Shutdown Puts IPO Resurgence at RiskThe IPO market has been sizzling in recent months, but the government shutdown threatens to put a short-term halt to public offerings. Here's why.
-
Amazon AI on Prime Day: Deal Helper or Upsell Machine?Amazon’s Rufus chatbot, Alexa voice deals, and Amazon Lens can change how you shop on Prime Day. Here’s how to use them wisely — and avoid being upsold.
-
Moving Abroad? You Might Need a Cross-Border Financial AdviserIf you want to live in another country long term, you could benefit from an expert's guidance. Here's how to find a good qualified adviser to help with residency requirements, documentation, financial laws and tax impacts.
-
Government Shutdown Could Delay 2026 Social Security COLA AnnouncementThe shutdown of the federal government has thrown a wrench in the 2026 COLA calculations. Here is what you need to know as we wait for the forced furloughs to end.
-
What Happens to Your Money in a Government Shutdown?From benefit checks to IRS delays, here’s what could affect your wallet if the government shuts down.
-
What Happens to National Parks During a Government Shutdown?A guide to what stays open and what's at risk — and how to plan your park trips when federal funding stalls.
-
The Medicare Surcharge: Test Your IRMAA KnowledgeQuiz Test your basic knowledge of the income-related monthly adjustment amount in our quick quiz.
-
A Checklist for a Comprehensive Retirement PlanA successful retirement is built on a solid foundation of careful planning and self-awareness. Here are nine areas you should plan for if you want to retire with confidence.
-
My Husband and I Retired at 67 With $3.2 Million, But He's Frugal About Travel. How Can I Convince Him to Loosen Up?We asked financial planning experts for advice.
