This month, the Honorable Jan Schakowsky introduced the Medicare Fair Drug Pricing Act (H.R. 4207), which would give the Secretary of Health and Human Services (HHS) tools to bring down the price of prescription drugs in the Medicare program.
In a statement, Representative Schakowsky said, “Over the past few years, many breakthrough drugs have come to market, providing hope to many Americans living with diseases that currently have little or no treatment or cure. Yet, little has been done to ensure that patients can actually afford those life-saving treatments. That is why, I introduced the Medicare Fair Drug Pricing Act, which would ensure that Medicare beneficiaries have access to breakthrough, life-saving drugs. Under my legislation the Secretary of Health and Human Services would negotiate directly with drug manufacturers of sole source drugs and biologics covered under Medicare Part D to ensure that these medicines are affordable and accessible for beneficiaries.”
Endorsed by the Medicare Rights Center, the legislation would require the HHS Secretary to negotiate prices for prescription drugs covered by Medicare Part D that are the only prescription drug of their kind and are not produced by more than two manufacturers. The law would give the Secretary and the drug manufacturer 90 days to negotiate the prescription drug price, and the set price would remain in effect until more than two manufacturers enter the market with competing medicines, as long as one of the prescription drugs is a generic.
Read Representative Schakowsky’s announcement.
Kaiser Family Foundation Releases Report that Reminds Beneficiaries to Shop Around for Part D
This week, the Kaiser Family Foundation (KFF) released an analysis of Medicare Part D plans offered in 2016. The report finds that Part D prescription drug plans differ considerably in the medicines listed on their formularies, on the use of formulary tiers, and the level and structure of cost sharing applied to those tiers. Plan premiums and the use of deductibles also vary widely. Because plan decisions affect different beneficiaries in different ways, depending on the prescription drugs they need and their associated cost sharing, the brief urges individuals to consider their options carefully.
The KFF analysis is based on a set of specialty drugs and commonly prescribed brand and generic drugs and analyzes out-of-pocket costs as they apply to Part D enrollees who do not qualify for low-income assistance. It also examines profiles of multiple drugs for five hypothetical Part D enrollees to see what their cost and coverage options would be.