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President Donald Trump is expected to sign an executive order soon to reduce the cost of prescribed medications for medical care beneficiaries.
This will implement the policy of “the most preferred nation”, and linking the prices of some medications covered with medical care for those paid by other developed countries.
Objective: Bring our prices more in line with international standards by taking advantage of the administration’s executive authority.
For 53 million people registered in Part D.
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The prices of drugs prescribed in the United States in 2022 were almost three times higher than those in 33 other sophisticated countries, and the brand drugs cost more than four times more and more than three times after the discounts, according to the RAND report for the year 2024 of the Ministry of Health and Humanitarian Services (HHS).
KFF showed us drug spending in the individual was more than twice the number of similar countries, $ 1126 for $ 552, according to 2019 data.
Years of Medical Care Battle in making
During his first term, President Trump has paid a similar plan to reduce the costs of prescribed medications, but a federal judge prevented the effort before it became valid.
“Perhaps people have forgotten that President Trump started the” American patients first “plan in May of 2018, which aims to reduce drug prices and reduce pocket costs for Americans,” says Diane Daniels, founder of Medicare Nation. “In 2020, Trump launched the” Grand Savings Model “, which is the experimental program where a set of tasty insulin was appointed with a maximum of $ 35 per month.”
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According to Daniels, Medicare Advantage plans and independent prescribed medicines plans were presented in January 2021, with five pharmaceutical manufacturing companies participating.
Daniels said this model had an effective role in setting the basis for implementing the law to reduce inflation for 2022, which allowed HHS to negotiate with drug manufacturers.
If it is yearned, President Trump’s executive may be another important turning point in the Medicare pharmaceutical policy, which increases federal efforts to control the costs of medical prescriptions. The Irish Republican Army has prepared the stage, which requires the HHS secretary to negotiate high -cost drug prices.
“We have already started to see the changes that positively affect the consumer,” said Vintech Wealth Manegement.
In fact, with medicare already The low prices negotiated For 10 prescription medications under the Irish Republican Army. These medications are: Eliquis, Jardiance, Xareto, Januvia, Farxiga, Entesto, Enbrel, and Imbruvica. “From January 2026, 10 medical prescription medications have been appointed to provide beneficiaries with a 38 % -79 % discount on these drugs,” said Daniels.
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The Irish Republican Army also provided a $ 2000 annual ceiling on the external costs that begin in 2025; The requirements of mineral currency insurance were canceled 5 % in the catastrophic stage that begins in 2024; Monthly insulin costs are crowned.
These reforms were expected to benefit from the highest drug costs – older adults with multiple chronic conditions.
According to Aarp, approximately 75 % of those who will benefit from the maximum of $ 2000 between the ages of 65 and 84, with 45.6 % between 75, 84 and 29.8 % between 65 and 74.
“The beginning of this, people who have Medicare Part D plans have an annual ceiling of $ 2000 on the external costs of covered drugs,” said Tom Clark, Social Security Adviser and Medical Care. “As long as they choose Part D’s plan covering all their medications, they are somewhat well protected from the high costs of drugs.”
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While many studies have shed light on the costs of drugs outside the pocket, most data precedes the full deployment of the Irish Republican Army. For example, a study of the Institute for Interests published in 2016 showed the following:
For single families, the costs of medication with medium prescriptions were every two years ago
- $ 1,721 for ages 65-74,
- $ 1,763 for ages 75-84, and
- $ 1,846 for ages 85 and above.
For families couple, these numbers were
- $ 3,233 (65-74),
- $ 3,156 (75-84), and
- $ 3,442 (85+).
What does this mean changing medical care for you
The possible implementation of the “most preferred nation” approach can have long -term effects on the beneficiaries of medical care.
It is not surprising that the pharmaceutical industry historically opposes such repairs to pricing while consumer advocates argue that this pricing policy can reduce the costs of some medicare drugs.
However, Colubiale provides a warning perspective of the proposed plan: “Any kind of savings will not be transferred to the consumer who moves forward.” “The specific plan will reduce the margins of the drug manufacturers if it succeeds, and it may reduce the amount our government pays to manage the advantages of medical care because it relates to prescribed medication.”
Colubiale also highlights trends in the medical care insurance market. He said: “Many insurance companies have also stopped, or planned to stop, and pay commissions to insurance agents to create Part D” plans for consumers. ” “Each of their renovations has stopped all their renovation commissions suddenly pushing them to their entire book by companies such as Wellcare on January 1. I think it is in time, most insurance companies will not pay agents to create and serve Part D … another sign of margin pressure.”
In the future, Colubiale predicts a shift in medical care coverage patterns: “In order to reduce our government’s obligations to Part D, there is likely to be another upgrade to avoid consumers from Medigap with the D Part D, for Medicare Advantage plans that depend on the network with many plans in the described coverage.
For her part, Daniels said: “Trump’s executive will expand access to low -cost drugs imported from outside the country, which was mostly a ball of red tape. How the executive will work alongside the current tariff is another issue.”
She also said that Medicare Advantage did not respond well to the current part of Medicare Part $ 2,000, the maximum cost outside the pocket for beneficiaries of medical care.
Daniels said: “Many transport companies in favor of Medicare feature are looking to restore lost profit, and have reduced non -medical advantages such as teeth, glasses and hearing allowances,” said Daniels. “Some transportation companies have provided” medical discounts “in their plans, and some medications were transferred to higher levels and increased monthly installments on a specific Medicare feature plans.”
Tom Wright, Chairman of the 65th TURN workshop, provides a more measured rating: “from the perspective of” a large image “, there is a big gap between the majority of retirees who will not have any result in the near -term (everything), and a much smaller sub -group than those who take medications (s) may have a direct effect on the range.”
Wright warns of early work.
He said: “For this younger sub -group of retirees, since the executive order has not yet been issued – and pharmaceutical companies have not yet responded – from the premature start of any kind of research in alternatives.” “Looking at the potentially extended timetable for any implementation, I simply advise retirees who have a large prescription for medical care, they should be aware of this issue and that it may be ultimately needed to re -evaluate their drug plan … something they must usually do in any case.”
Here is what the beneficiaries in Medicare must take care:
- Stay in view: Pay attention to ads from management and medical care about possible changes in pricing drugs that may affect your medicines.
- Refer to your coverage: see the current medical medicine coverage for medical care (Part D) and understand any of your drugs that have high restrictions or cobas.
- Consulting health care providers: Daniels recommends that the beneficiaries of Medicare bring a copy of “drug formats” to the doctor’s dates. “This allows doctors to search for the classification of medicines and discuss options more positively with patients,” she said.
- Wait for details: Wright suggests that any future changes will be connected in detail to the members of the Medicare drug plan when the time comes in the end. “With all the anxiety and uncertainty that occurs in the world, there is currently no need for a problem like this to add it to the level of strain of retirees,” Wright said.
- Consider the options of medical care plan: During the annual election period for the following medical care, the impact of this policy may affect the plan that provides the best coverage of your needs.
