Top Medicare Part D Drug Prices Almost Doubled
The AARP Public Policy Institute published a report this month that concluded that prices for top Medicare Part D medications have almost doubled since being brought on the market.
Leigh Purvis of the Public Policy Institute wrote that the growing drug prices are "challenging for Medicare Part D enrollees, who take an average of four or five prescription drugs every month and often face cost-sharing that is directly affected by drug price increases."
The report's analysis is based on the 25 brand-name drugs with the highest total Medicare Part D spending in 2022 that have not yet been selected for Medicare drug price negotiation, Purvis reported. "Overall, these top 25 drugs were responsible for nearly $50 billion in total Medicare Part D spending in 2022 and were used by a total of more than seven million Part D enrollees."
"These findings highlight the importance of Inflation Reduction Act provisions that allow the Medicare program to negotiate prescription drug prices and require drug companies to pay penalties when they increase their prices faster than the rate of inflation," the report noted. "These mechanisms will help moderate prescription drug pricing practices that have caused millions of older adults to engage in cost-coping strategies."
