Overview

• The Biden administration released revised guidance for Medicare's new drug price negotiation program.
• In September, Medicare will announce the first 10 drugs targeted for negotiation based on clinical benefits, cost, and R&D.
• The initial guidiance had forbidden drug companies from publicly disclosing negotiation details; the new guidance allows them to discuss at their discretion.
• Pharmaceutical companies and industry groups have sued over the program, claiming it violates due process and seizes private property.
• The program aims to save $25 billion per year by reducing prices of Medicare's costliest drugs.