Statement from Margarida Jorge, head of Lower Drug Prices Now – the leading campaign fighting to lower prescription drug prices – in response to implementation of the latest provision of the 2022 Inflation Reduction Act’s Medicare reforms to lower drug prices for millions of seniors and people with disabilities:
“Winning Medicare negotiations and the first ever cap on out-of-pocket drug costs as part of the 2022 Inflation Reduction Act made history in 2022. The Inflation Reduction Act is the culmination of a decades-long fight to rein in drug corporations’ price gouging and curb their monopoly power to set and raise prices anytime they want. The new law, once fully implemented, will save Medicare patients, their families, and taxpayers billions over the coming decade and finally make some of the most expensive medicines in Medicare affordable.
This month, a key part of the law goes into effect: the first-ever cap on out-of-pocket costs in Part D. In 2024, about 1.5 million Part D enrollees who take brand name drugs will be capped at $3,300 annually rather than facing unlimited out of pocket costs on these drugs. Next year, the cap will be lower, at $2000 annually and help even more Americans who in past years were forced to pay more every time the drug corporations raised their prices.
These savings come just as Pharma is hiking prices on over 500 drugs this January and while some Members of Congress are pushing for potential cuts in programs like Medicare, Medicaid, Social Security as part of “fiscal commission” proposals that could potentially hurt seniors, people with disabilities, veterans and working families.”