Biden Administration Targets Prescription Drug Prices in Landmark Medicare Negotiations

The Biden administration has initiated unprecedented price negotiations for 10 prescription medications covered by the Medicare program, which serves 66 million older Americans. These drugs, costing billions annually, treat conditions ranging from diabetes to heart failure. The negotiations aim to reduce federal healthcare spending and out-of-pocket expenses for patients.

The Biden administration has launched unprecedented price negotiations for 10 high-cost prescription medications covered by Medicare, aiming to make medications more affordable for the 66 million older Americans enrolled in the program.

A recent report by the Centers for Medicare & Medicaid Services (CMS) highlights the annual costs of these drugs to the federal health plan. Bristol Myers Squibb and Pfizer's blood thinner, Eliquis, topped the list, costing Medicare $16.5 billion to treat 3.7 million enrollees for 12 months ending June 2023.

Other notable mentions include Jardiance, used for diabetes and heart conditions, and Eliquis rival drug Xarelto, both contributing significantly to Medicare's expenditures. This initiative follows President Biden's Inflation Reduction Act, which also caps insulin out-of-pocket costs at $35 monthly, indicating a robust effort to alleviate financial burdens on seniors.

(With inputs from agencies.)