Insulin Prices Drop
The Inflation Reduction Act (IRA) has significantly reduced the cost of insulin for people who rely on it to manage their diabetes. The act has brought relief to seniors who have Medicare, capping the cost of insulin at $35 per month. This provision has been in effect this year, and all seniors who use insulin are now benefiting from this out-of-pocket cost limit.
According to a published article in The Pharma Letter, Danish diabetes giant Novo Nordisk (NOV: N) announced plans to slash the cost of insulin after the Eli Lilly company’s announcement to slash their insulin prices. Moreover, the IRA has made significant changes to prescription drug pricing in Medicare Part D. Seniors may pay even less than $35 per month for their insulin starting in 2026, and those who are charged more than $35 per month in the first few months after the new Medicare copay cap is enacted will be reimbursed.
READ ALSO: Eli Lilly Cuts Insulin Price Cap by 70: Capping Out Out-of-Pocket Costs at 35 A Month
People with diabetes who rely on more than just insulin to survive also benefit from the IRA. The act caps the cost of all prescription drugs at $2,000 per year for seniors who have Medicare Part D. This out-of-pocket cost limit will benefit people with diabetes, as $1 in every $3 spent on prescription drugs in the U.S. is spent on someone with diabetes.
The extension of premium subsidies through 2025 for individuals and families who have private insurance plans through the Affordable Care Act is another significant benefit of the IRA. The assistance was expanded during the COVID-19 pandemic and was set to expire at the end of this year. The extension will make private insurance more affordable for those who need it.
Overall, the Inflation Reduction Act brought relief to people who rely on insulin and other prescription drugs. The act’s provisions have capped the cost of insulin and all prescription drugs, allowing seniors to save money and live better lives. Medicare’s ability to negotiate the price of expensive drugs directly with drug manufacturers will make life-saving medications more affordable. The IRA is a step in the right direction, and we can only hope that more legislation follows suit to bring further relief to those in need. The IRA has demonstrated how a government can take meaningful steps to ensure citizens have access to affordable healthcare, particularly those who need it most.
READ ALSO: Affordable Care Act Open Enrollment 2023: Don’t Miss These Changes
