The Centers for Medicare and Medicaid Services announced the first ten prescription drugs that will be subject to price negotiations.
While Medicare can help control the cost of healthcare by dictating how much money doctors and hospitals can be paid for medical services, it has been barred from negotiating the price of prescription medication.
That changed due to a clause in the Inflation Reduction Act, which allows the government to negotiate lower prices with pharmaceutical companies.
These are the drugs that will be subject to negotiation:
- Eliquis
- Xarelto
- Januvia
- Jardiance
- Enbrel
- Imbruvica
- Farxiga
- Entresto
- Stelara
- Fiasp; Fiasp FlexTouch; Fiasp PenFill; NovoLog; NovoLog FlexPen; NovoLog PenFill
"These ten drugs are among those with the highest total spending in Medicare Part D. Millions of Part D enrollees depend on these vital treatments to treat life-threatening conditions, including diabetes, heart failure, and cancer, but many struggle to access their medications because of prohibitive costs," the White House said in a statement.
The new prices will take effect in 2026.
The government plans to negotiate prices for up to 60 prescription drugs covered under Medicare Part B and D over the next four years and an additional 20 drugs per year after that.