Overview

• Medicare will see price cuts ranging from 38% to 79% on 10 high-cost drugs.
• The negotiations are expected to save $6 billion for Medicare and $1.5 billion in out-of-pocket costs for enrollees.
• Savings will begin in 2026, with further drug price negotiations planned annually.
• The Inflation Reduction Act enabled these negotiations, marking a significant policy shift.
• Legal challenges from the pharmaceutical industry could impact the future of these savings.