H.R.1244 - Reducing Drug Prices for Seniors Act (119th Congress)
Summary
H.R.1244, the "Reducing Drug Prices for Seniors Act," aims to amend Title XVIII of the Social Security Act, specifically targeting Medicare Part D. The bill proposes that coinsurance for prescription drugs be based on the actual acquisition cost rather than the wholesale acquisition cost. This adjustment would apply to plan years beginning on or after January 1, 2026.
Expected Effects
If enacted, this bill would likely lower out-of-pocket expenses for seniors enrolled in Medicare Part D, provided that the actual acquisition cost of the drug is lower than the wholesale acquisition cost. The change could also affect the financial dynamics between pharmacies, drug manufacturers, and insurance plans. This may incentivize more efficient pricing strategies.
Potential Benefits
- Reduced out-of-pocket costs for seniors on Medicare Part D.
- More transparent drug pricing based on actual costs.
- Potential for lower overall healthcare spending.
- May encourage pharmacies to negotiate better drug prices.
- Could improve medication adherence due to affordability.
Potential Disadvantages
- Potential for increased administrative complexity in calculating coinsurance.
- Possible resistance from pharmaceutical companies and insurance providers.
- Savings may not be significant for all beneficiaries.
- Pharmacies may face reduced profit margins.
- The bill excludes certain covered Part D drugs, limiting its overall impact.
Constitutional Alignment
The bill falls under the purview of Congress's power to legislate on matters related to healthcare and Social Security, as outlined in Article I, Section 8 of the Constitution, which grants Congress the power to provide for the general welfare. The bill does not appear to infringe upon any specific constitutional rights or freedoms. It is designed to modify existing statutory provisions related to Medicare, a federal program.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).