64 Medicare Prescription Drugs That Are Getting More Affordable

Some people with Medicare will pay less for their prescription medications from July 1 to September 30, the U.S. Department of Health and Human Services (HHS) announced.  

The agency identified 64 drugs — used by more than 750,000 Medicare enrollees annually — whose prices have risen faster than the rate of inflation. Under the prescription drug law passed in 2022, the coinsurance rates for these medications will be adjusted to match the inflation rate, meaning some people with Medicare could pay less out of pocket through September. What’s more, the makers of these drugs will face penalties for the price hikes in the form of a rebate to Medicare.

“Everyone should be able to afford their medication, and the Inflation Reduction Act continues to deliver on this goal to improve affordability,” Centers for Medicare & Medicaid Services Administrator Chiquita Brooks-LaSure said in a June 26 statement. “Discouraging drug companies from price increases above the rate of inflation is a key part of this effort, and CMS continues to implement the law to bring savings to people with Medicare.”

The announcement pertains to Medicare Part B drugs. Medications covered under Part B are typically administered by a health care provider in a doctor’s office or hospital outpatient setting — an example being certain cancer treatments or medications to help fight an infection. According to HHS, some people with Medicare who use the selected 64 drugs may save up to $4,593 per day during the three-month time frame. How much a person has to pay out of pocket for their medications depends on whether they have additional insurance that covers or reduces Part B’s 20 percent coinsurance. 

This is the sixth time HHS has released a quarterly list of Part B medications with prices that have risen faster than the rate of inflation. On the most current list is the drug Padcev, an advanced bladder cancer treatment that has made previous lists and that cost Medicare nearly $100,000 per beneficiary in 2022. HHS says a beneficiary taking Padcev “may have saved as much as $1,181 from April 1, 2023, through March 31, 2024, depending on their coverage and course of treatment.”

The makers of these 64 prescription drugs will be invoiced for the rebates they owe Medicare no later than the fall of 2025. These funds will be deposited in the Federal Supplementary Medical Insurance Trust Fund, which HHS says will help to ensure the financial sustainability of the Medicare program for generations.