Tucked into the One Big Beautiful Bill is a provision that delays Medicare price negotiation for drugs that have orphan indications, which researchers say could have a long-term impact on Medicare’s ability to lower prices through negotiation.
Under the Inflation Reduction Act of 2022, CMS was able, for the first time, to negotiate prices of certain prescription medications. The first group of drugs negotiated were for 10 drugs covered under Medicare Part D, and the new prices are scheduled to take effect in January 2026. The second group of drugs currently being negotiated were also covered under Part D.
Next year, CMS will choose 15 therapies for negotiation that can either be Part D or Part drugs, with new prices to take effect in 2028. The Inflation Reduction Act specifies that CMS c