Medicare officials announced on Nov. 25 the negotiated prices for 15 of the program’s most expensive drugs, anticipating a 44 percent decrease compared to last year’s price, resulting in potential savings of $12 billion. The new prices are scheduled to go into effect at the start of 2027.
Annual price negotiations, started under the Biden administration’s 2022 Inflation Reduction Act (IRA), allow the Centers for Medicare & Medicaid Services (CMS) to bargain directly with pharmaceutical companies, which had been prohibited under the law.
