The Biden administration announced Wednesday it would be penalizing 27 prescription drugs for increasing their prices faster than the rate of inflation, making them pay the difference back to Medicare.
The announcement — made through the Department of Health and Human Services (HHS) — is intended to lower prescription drug costs for those with Medicare and are under Part B beneficiary coinsurances, an HHS statement read.
“Some people with Medicare who take these drugs may save between $2 and $390 per average dose starting April 1, depending on their individual coverage,” HHS announced.
The drugs impacted include Abelcet, Akynzeo, Atgam, Aveed, Bicillin C-R, Bicillin L-A, Carnitor, Cytogam, Elzonris, Fetroja, Flebogamma DIF, Folotyn, Fragmin, Humira, Leukine, Minocin, Mircera, Nipent, Padcev, Rybrevant, Signifor LAR, Sylvant, Tecartus, Winrho SDF, Xiaflex, Xipere and Yescarta.
LAS VEGAS, NEVADA – MARCH 15: U.S. President Joe Biden speaks at UNLV on March 15, 2023 in Las Vegas, Nevada. Biden spoke about his plan to lower prescription drug costs. (Photo by Ethan Miller/Getty Images)
“The Biden-Harris Administration believes people with Medicare shouldn’t be on the hook when drug companies inexplicably jack up the prices of their drugs,” HHS Secretary Xavier Becerra said. “President Biden made lowering prescription drug costs for Americans a top priority and we’re using every lever we have to deliver results. With the inflation rebate program, we are fighting to ensure seniors can afford the treatments they need, taxpayers aren’t subsidizing drug company excess prices, and the Medicare program is strong for millions of beneficiaries now and in the future.”
The administration’s plan is part of a larger initiative spearheaded by President Joe Biden to lower pharmaceutical costs. In his budget proposal, he called for capping insulin costs to $35 a month and increasing “Medicare’s negotiation authority to increase the number of drugs selected for negotiation sooner after they launch.” (RELATED: Biden Releases Budget With New Taxes In Attempt To Reduce Deficit)
Biden traveled to Nevada on Wednesday to speak about drug prices, criticizing “MAGA Republicans” for their healthcare policies, including the Affordable Care Act.
He also touted the passage of the Inflation Reduction Act, and said that he “finally won” against Big Pharma, as Medicare is allowed to negotiate down prices with pharmaceutical companies.