Article Summary –
Vice President Kamala Harris aims to extend the $35 monthly cap on insulin and the $2,000 annual cap on out-of-pocket drug costs to all Americans, not just Medicare recipients. This plan builds on the Inflation Reduction Act, which also allows Medicare to negotiate drug prices, potentially saving taxpayers $6 billion. Harris proposes accelerating these negotiations and increasing the number of drugs eligible for price reduction. Additionally, she seeks to bar unpaid medical bills from affecting credit scores and intends to tackle pharmaceutical industry practices that hinder competition. Harris’ initiatives require congressional approval, contingent on the Democrats securing control of the House and Senate.
Harris aims to expand $35 insulin cap and $2,000 annual drug cost cap to all Americans
Vice President Kamala Harris plans to lower prescription drug costs further if elected president in November.
Her proposals build on the Inflation Reduction Act (IRA) policies passed by the Biden administration.
The law includes a $35 monthly insulin cap for Medicare recipients and limits out-of-pocket prescription drug costs to $2,000 per year starting in 2025.
Due to the $35 cap, nearly 57,000 North Carolina seniors on Medicare pay no more than $35 monthly for insulin. An estimated 662,600 seniors in the state will save $406 annually each due to the $2,000 cap, according to a US Department of Health and Human Services analysis.
Harris wants these caps to apply to all Americans, not just seniors on Medicare.
The IRA also authorized Medicare to negotiate prices for costly drugs. This is expected to save taxpayers $6 billion in 2026 and reduce prices for selected drugs by 38%-79%, saving seniors $1.5 billion in 2026 alone.
Another 15 drugs will be selected for negotiation in 2027, 2028, and 20 more each year thereafter.
Harris proposes accelerating these negotiations and expanding the number of drugs eligible for negotiation.
“We have capped the cost of insulin at $35 a month for seniors, capped prescription costs for seniors at $2,000 a year, and allowed Medicare to negotiate drug prices,” Harris wrote on Facebook. “As president, I will continue to make health care more affordable for working Americans.”
All of Harris’ plans require congressional approval, likely only if Democrats win the House and Senate in November.
Harris also plans to expand the federal role in canceling medical debt.
Last year, the Biden-Harris administration announced plans to bar unpaid medical bills from affecting credit scores. This could help millions by removing detrimental information from credit reports, making it easier to secure jobs, rent apartments, or get loans.
“We believe in a future where the economy works for working people,” Harris said earlier this year. “We are making it so that medical debt can no longer affect your credit score.”
Harris plans to work with states to cancel medical debt for millions if elected.
Finally, Harris vows to increase competition in the pharmaceutical industry, targeting companies that block competition and middlemen who raise costs.
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