Medicare price talks progress quietly as government targets costly prescriptions
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As debates over drug pricing continue on the national stage, key negotiations are quietly unfolding behind the scenes.
The Medicare drug price negotiation program is advancing into a new phase, though it’s attracting far less public attention than it did in its debut.
While headlines focus on executive orders and campaign promises, real policy shifts are being shaped in the background.
The process has the potential to deliver long-term savings for millions of Americans on Medicare.
Fifteen high-cost prescription drugs are now being negotiated under the authority of the Inflation Reduction Act.
This list includes the diabetes drug Ozempic from Novo Nordisk and the arthritis medication Otezla from Amgen.
Both companies confirmed they’ve received opening price offers from the federal government.
The talks will continue through October, with final prices announced by November 30 and changes taking effect in January 2027.
This is only the second annual round of negotiations since Medicare Part D gained price bargaining authority in 2022.
Prior to the law, Medicare served more than 50 million seniors without the ability to negotiate directly with drugmakers.
In the first round last year, price cuts ranged from 38% to 79%, with savings set to kick in starting January 2026.
Harvard Medical School researcher Dr. Ben Rome says the current administration appears committed to keeping the process moving forward.
Also read: Still confused by Medicare? Let’s clear up 10 common myths seniors should know
On May 12, the Centers for Medicare and Medicaid Services issued draft guidance for a third round of talks slated for 2026.
This signals clear intent from federal agencies to continue implementing the policy regardless of shifting political leadership.
Meanwhile, President Trump has promoted his own plans, such as a "most favored nation" pricing model, though its practical impact remains unclear.
Critics from groups like the Heritage Foundation advocate repealing the Medicare negotiation program altogether.
Also read: Medicare grocery allowance: Are you missing out on this food benefit?
Still, barring congressional action to dismantle the initiative, Medicare is expected to follow through with the planned timeline.
Companies involved in this year’s list have remained tight-lipped beyond acknowledging participation.
The pressure to lower costs is growing, and for many Americans, the outcome could significantly impact affordability and access to medication.
While the headlines may stay quiet, the long-term financial implications are anything but small.
Read next: A new bill could save 700,000 seniors from lifelong Medicare penalties—here’s what’s at stake
Are rising prescription costs straining your budget? Medicare’s latest round of drug negotiations could bring real relief—but only if the process stays on track. Stay informed and speak up to ensure access and affordability remain priorities. Visit Medicare.gov to learn more and see if your medications are on the list.
The Medicare drug price negotiation program is advancing into a new phase, though it’s attracting far less public attention than it did in its debut.
While headlines focus on executive orders and campaign promises, real policy shifts are being shaped in the background.
The process has the potential to deliver long-term savings for millions of Americans on Medicare.
Fifteen high-cost prescription drugs are now being negotiated under the authority of the Inflation Reduction Act.
This list includes the diabetes drug Ozempic from Novo Nordisk and the arthritis medication Otezla from Amgen.
Both companies confirmed they’ve received opening price offers from the federal government.
The talks will continue through October, with final prices announced by November 30 and changes taking effect in January 2027.
Medicare price talks progress quietly as the government targets costly prescriptions. Image source: Medicare
This is only the second annual round of negotiations since Medicare Part D gained price bargaining authority in 2022.
Prior to the law, Medicare served more than 50 million seniors without the ability to negotiate directly with drugmakers.
In the first round last year, price cuts ranged from 38% to 79%, with savings set to kick in starting January 2026.
Harvard Medical School researcher Dr. Ben Rome says the current administration appears committed to keeping the process moving forward.
Also read: Still confused by Medicare? Let’s clear up 10 common myths seniors should know
On May 12, the Centers for Medicare and Medicaid Services issued draft guidance for a third round of talks slated for 2026.
This signals clear intent from federal agencies to continue implementing the policy regardless of shifting political leadership.
Meanwhile, President Trump has promoted his own plans, such as a "most favored nation" pricing model, though its practical impact remains unclear.
Critics from groups like the Heritage Foundation advocate repealing the Medicare negotiation program altogether.
Also read: Medicare grocery allowance: Are you missing out on this food benefit?
Still, barring congressional action to dismantle the initiative, Medicare is expected to follow through with the planned timeline.
Companies involved in this year’s list have remained tight-lipped beyond acknowledging participation.
The pressure to lower costs is growing, and for many Americans, the outcome could significantly impact affordability and access to medication.
While the headlines may stay quiet, the long-term financial implications are anything but small.
Read next: A new bill could save 700,000 seniors from lifelong Medicare penalties—here’s what’s at stake
Are rising prescription costs straining your budget? Medicare’s latest round of drug negotiations could bring real relief—but only if the process stays on track. Stay informed and speak up to ensure access and affordability remain priorities. Visit Medicare.gov to learn more and see if your medications are on the list.
