Biden-Era Law That Created Medicare Drug Price Controls Could Hike Up Prices, Analysts Warn - [your]NEWS

Analysts warn that the Medicare Drug Price Negotiation Program created by the Inflation Reduction Act (IRA) could limit patient access to certain prescription medicines and raise long-term costs. Signed into law by former President Joe Biden in August 2022, the IRA authorizes the federal government to negotiate prices for high-cost Medicare drugs. While supporters said the policy would reduce prices, critics quoted by the Daily Caller News Foundation argued that controls shift costs elsewhere—insurers and pharmacy benefit managers may respond with more utilization-management tools such as prior authorization, quantity limits, formulary exclusions and preferred-status restrictions. A proposed CMS rule released in June would solidify regulations for Initial Price Applicability Year (IPAY) 2029 and later years.