The list of Medicare drug price negotiations includes Ozempic
An Ozympic box and contents sit on a table in Dudley, North Tyneside, Britain, October 31, 2023.
George Frey | Reuters
The Biden administration made the announcement on Friday The next 15 prescription drugs Price negotiations between manufacturers and Medicare will begin the second phase of a historic process aimed at making expensive drugs more affordable for seniors.
They are on the list. Novo NordiskThe blockbuster diabetes injection Ozympic, weight loss shot Wegovy and diabetes Rybelsus are considered as one product in the talks. Because they all share the same active ingredient: semaglutide. Those treatments have fueled the red-hot obesity market and become difficult for patients to access due to cost, insurance coverage and limited supply.
The agreed prices for the second wave of drugs are scheduled to take effect in 2027.
Here are 15 drugs to buy for the first lectures this year
- Ozympic, Wegovi, Ribblesus, (Semaglutide,) Developed by Novo Nordisk for use in type 2 diabetes, weight management and cardiovascular health
- Trilogy Ellipta, Made GSKIt is an inhaler used for severe pneumonia and asthma.
- Xtandi Made PfizerIt is used to treat prostate cancer in men
- slow down Made Bristol Myers SquibbIt is used to treat multiple myeloma, a type of blood cancer, and cancer that occurs in people with HIV
- Ibrance Made by Pfizer, it is used to treat certain types of breast cancer
- of, Made by Boehringer Ingelheim, it is used to treat chronic lung diseases in adults.
- Linz, Made by ABV And Ironwood PharmaceuticalsIt is used to treat irritable bowel syndrome and chronic constipation
- Calquency, Made AstraZenecaIt is used to treat certain types of blood cancer
- Austedo, Austedo XR, Made Teva PharmaceuticalsIt is used to treat involuntary movements due to tardive dyskinesia or Huntington’s disease
- bryo ellipta, Made by GSK and developmentIt is an inhaler used to treat chronic obstructive pulmonary disease.
- tradition, Made by Boehringer Ingelheim and Eli LillyIt is used for the treatment of type 2 diabetes
- zyfaxon, Made by Salix Pharmaceuticals, it is used to treat diarrhea caused by irritable bowel syndrome or irritable bowel syndrome.
- virus, Made by AbbVie, it is used to treat schizophrenia, bipolar disorder and major depression.
- Janumet, Janumet XR, Made MercIt is used to control type 2 diabetes
- Otezla, Made by I believeIt is used to treat plaque psoriasis, psoriatic arthritis and mouth ulcers
President Joe Biden’s Inflation Reduction Act authorizes Medicare to break drug prices directly with manufacturers for the first time in the federal program’s 60-year history. Some congressional Democrats and consumer advocates have long pushed for the change, as many seniors around the country struggle to afford care.
About 5.3 million people with Medicare Part D coverage used the 15 drugs to treat conditions such as asthma, cancer and type 2 diabetes between Nov. 1, 2023, and Oct. 31, 2024, in the second round of talks. released Friday from the Department of Health and Human Services. The drug group accounted for $41 billion, or 14 percent of total Part D prescription drug spending during that period, the statement added.
Combined with the 10 drugs selected for the first round of negotiations, the 25 products represent 36 percent of Medicare Part D prescription drug spending during that period, the statement said.
The drugs have been on the market for at least seven years without generic competitors, or 11 years for biological products such as vaccines.
Medicare has completed negotiations for the first 10 drugs selected in the program, with new prices coming into effect next year. In August, the Biden administration said it expects those negotiated rates to save Medicare enrollees nearly $1.5 billion in out-of-pocket costs by 2026 alone. In addition, the government expects the price to lead to $6 billion in net savings for the Medicare program. In the year 2026Or a total net savings of 22%.
But it’s unclear whether President-elect Donald Trump will seek to change or weaken some of the law’s provisions when he takes office next week.
The negotiation program has faced numerous – so far unsuccessful – legal challenges from the pharmaceutical industry, which sees the process as a threat to revenue growth, profits and drug innovation.
Medicare covers approximately 66 million people in the United States and 50.5 million According to the health policy research organization KFF, patients are currently enrolled in Part D plans.
About 10% of Medicare enrollees age 65 and older and 20% of those younger than age 65 report challenges getting drugs, a senior administration official told reporters last year.
“Last year, we proved that negotiating low drug prices works, now we plan to build on that
“We negotiated record low prices for 15 more essential drugs for seniors,” HHS Secretary Xavier Becerra said in a statement. HHS will continue to negotiate for people with Medicare to get new, life-saving treatments at lower costs.
Patient advocacy groups such as the nonprofit AARP applauded the announcement Friday.
“For too long, big drug companies have paid their profits by putting a terrible price on American life, forcing seniors to skip prescriptions they can’t afford,” AARP said in a statement. “The first round of Medicare drug price negotiations has made it clear that this process will reduce the cost of these important products and create billions of dollars in savings for Medicare and its beneficiaries.”
What’s next in the Medicare price talks?
Drugmakers have until February 28 to decide whether to participate in the program. If a drugmaker refuses to negotiate, it must pay an excise tax on up to 95 percent of the drug’s U.S. sales or withdraw all of its products from the Medicare and Medicaid markets.
Those who participate are involved in a lengthy negotiation process with Medicare that involves months of back-and-forth price reductions. The federal program determines initial availability for each drug using sales volume data, the level of federal funding for the drug’s development, and pending or approved patent applications and exceptions and other information.
After the second round ends, Medicare will be able to negotiate prices for another 15 drugs that will go into effect in 2028. The number is about 20 negotiated drugs per year starting in 2029.
The government will choose only Medicare Part D drugs for the first two rounds of negotiations. By 2028, Medicare will add more specialty drugs to Part B, commonly administered by doctors.
But drugmakers will have more opportunities to negotiate with Medicare Final instructions It was released last year for the second round of price talks. The first option negotiation meetings will take place after Medicare submits its initial price offer for the 15 drugs, which must be submitted. June 1.
