US Drug Price Measure to Cut Costs by $7.5 Billion in 2026
- Costs to fall for elderly Americans and US Medicare plan
- Biggest price cut is 79% off of Merck’s diabetes drug Januvia
Pills in a quality control laboratory.
Photographer: Alex Kraus/BloombergThis article is for subscribers only.
The US government’s landmark drug price negotiations will save Americans $7.5 billion in its inaugural year, the Biden administration said, a first step toward driving down its world-leading pharmaceutical bill.
The savings will be split between senior citizens, who will fork out $1.5 billion less in out-of-pocket costs for ten medications, and the government, as its health insurance program for the elderly will pay $6 billion less to treat heart failure, blood clots, diabetes and other conditions in 2026.