Medicare Drug Plans to Cap Costs Amid Premium Hikes

Changes under the Inflation Reduction Act will cap out-of-pocket expenses but could lead to higher premiums for some plans.

Medicare beneficiaries will see a $2,000 cap on out-of-pocket prescription drug costs starting in 2025, thanks to the Inflation Reduction Act.
Despite cost caps, many insurers are raising premiums, with some plans increasing by as much as $35 per month.
The Biden administration's demonstration project aims to limit premium hikes, drawing criticism and claims of election-year politics.
Critics argue that the Inflation Reduction Act diverts funds from Medicare to climate initiatives, potentially leading to higher costs for seniors.
Enrollment for Medicare drug plans is open until December 7, urging beneficiaries to review options amidst significant changes.