For the first time in Medicare's history, negotiated drug prices took effect on January 1, 2026. Ten high-cost prescription drugs — including treatments for diabetes, heart disease, and blood clots — are now available at prices that are at minimum 38% below their 2023 list price. Seniors enrolled in Medicare Part D prescription plans may see out-of-pocket costs fall by more than 50% for these drugs. Seven of the ten negotiated drugs are now available for under $100 per month. The out-of-pocket cap for all Part D enrollees is now $2,100 per year, after which the plan covers 100%.

When the negotiated prices go into effect in 2026, people enrolled in Medicare prescription drug coverage would save under the projected defined standard benefit design an estimated $1.5 billion.

Source: Centers for Medicare & Medicaid Services (CMS) →