GRANDVILLE, Mich. — U.S. Sen. Debbie Stabenow stopped by Grandville Thursday morning to outline significant provisions that will be enacted to lower prescription drug costs under the Inflation Reduction Act.
The Inflation Reduction Act was signed into law on Tuesday.
“Americans pay the highest prices in the world for their prescription drugs and it’s outrageous!” says Senator Stabenow. “I am very proud that my Democratic colleagues joined me in standing up to Big Pharma to get Michiganders and all Americans the help they need so they can afford their medicine.”
Stabenow says the new law will allow Medicare to negotiate prices on prescription drugs.
“Medicare is the biggest purchaser of prescription drugs in our country, and yet they've been stopped from being able to negotiate prices,” says Stabenow. “If Medicare can negotiate the best price, we're going to get a better deal, and that seniors and anyone on Medicare is going to get a better deal.”
We’re told the law will also limit insulin costs to $35 a month.
“The $35 limit on insulin costs is going to be huge,” says Medicare Medicaid Assistance Program Coordinator Bob Connelly, who joined Senator Stabenow during her visit. “Three-point-three million beneficiaries throughout the country are on some type of insulin.”
The Inflation Reduction Act will also limit out-of-pocket fees to $2,000 a year and give beneficiaries the option to pay back their expenses across monthly payments, Senator Stabenow explains.
Other items under the new law include repercussions against drug companies who raise Medicare costs beyond inflation rates, and senior citizens with low income will receive free coverage on all vaccines through Medicare, Stabenow explains.
“For many seniors on low to moderate fixed incomes, making ends meet is difficult and anxiety producing,” says Senior Neighbors President Robert Barnes. “Many of them struggle with the cost of prescription medications and could find caps on costs to be a game changer that helps them live within a sustainable budget.”
Stabenow also says those who purchase insurance via the Affordable Care Act marketplace will see reduced costs.
“We're going to extend current deductions that have been put in place last year for anyone on the Affordable Care Act insurance to about 260,000 Michiganders who've been able to save about $400 a month on increased tax credit,” says Stabenow. “So we're going to extend that so that $400 savings a month is going to continue.”