Trump targets Medicare drug prices with cost-cutting measures

The Trump administration on Friday announced three measures designed to cut prescription drug prices – with a particular focus on seniors – pursuant to executive orders signed earlier this year.

“Together, these reforms will save Americans patients many, many billions of dollars every single year,” Trump said during a press conference at the White House.

The first would end rebates paid to the so-called middlemen in Medicare, who are supposed to pass them on to commercial plans – though there is doubt over whether that happens. Instead, the discounts are expected to be offered to consumers directly at the pharmacy counter.

There has been a concern that this policy could result in higher Part D premiums for beneficiaries.

The second action announced on Friday aims to make U.S. drug prices more competitive by linking prices paid for prescriptions under Medicare to prices charged for the same drugs in other countries.

Trump said that Medicare will look at prices paid by other developed nations and instead of paying “the highest price on the list,” the program “will pay the lowest price.”

Additionally, the administration said it would end the Unapproved Drug Initiative, which was designed to prevent the use of unapproved drugs, but instead has allowed drugmakers to exploit older drugs that have received renewed approval and exclusivity by hiking prices.

As previously reported by FOX Business, in July the president signed four executive orders aimed at lowering the cost of prescription drugs.

Among them were delivering rebates from drug companies directly to consumers for Epipens and insulin, allowing wholesalers to legally import prescription drugs from Canada and other countries and delivering discounts straight to patients...

Already done.

The American Diabetes Association told Lead Stories the $35 price for insulin will apply only to seniors with Medicare Part D drug plan and the lower price will not take effect until 2021. The $35 insulin price does not apply to anyone who is not a senior with this specific drug plan.

https://leadstories.com/hoax-alert/2020/08/fact-check-insulin-prices-under-trump-have-not-yet-gone-from-600-a-month-to-35-a-month-they-will-in-2021-but-only-for-some-seniors.html

in the meantime, several states have codified this price limit into their state laws:

list of states capping co-pays and the specifics:

https://www.goodrx.com/blog/states-pass-laws-to-limit-insulin-costs-cap-copays/

also, May 18 - Sacramento, California. Today, the California Assembly Health Committee passed Assembly Bill 2203 (Nazarian), legislation that will cap insulin co-pays at $50 per 30-day supply of insulin and total out-of-pocket costs for insulin at $100 for those in state-regulated health insurance plans. (this is from ADA, but the link is too long to post)

I’d think one would be able to order insulin from any pharm in the US if your own state hasn’t moved legislation.

hopefully, we will see the same price-regulating towards all ‘maintenance meds’ such as inhalers for COPD patients. Until then, I’ll still buy from Canada where a $350 inhaler US can be had for about 1/10th the price.

Good news for now. The price will creep up again until it gets slapped down again.

Unrelated, but I’m seeing lots of what I consider price gouging since March. Lumber is nuts, sheet goods are in the stratosphere.

The wife says there were almost no paper goods in the store again today. What gives with paper goods and covid? I never thought a paper plant put that many people in close proximity?

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.