Medicare drug price negotiation program's first 10 drug price decreases

In August 2022, the Biden Administration signed the Inflation Reduction Act into law, which gave Medicare Parts B and D negotiation powers that will apply to the price of a limited number of drugs with no generic or biosimilar competition.

Pharmaceutical companies have filed numerous lawsuits to block the law, to no success. 

The negotiated prices, announced Aug. 15, would have saved Medicare about $6 billion for more than 9 million people who use these medications. 

Compared with 2023 list prices, the negotiated prices offer savings between 38% and 79%. 

The negotiated prices are for a 30-day supply, and the new prices will take effect Jan. 1, 2026.

1. Januvia, a Type 2 diabetes drug from Merck:

List price in 2023: $527

Negotiated price: $113

Part D cost from 2023: $4.09 billion

Discount: 79%

2. Fiasp, Fiasp FlexTouch, Fiasp PenFill, NovoLog, NovoLog FlexPen, and NovoLog PenFill; Type 2 diabetes drugs from Novo Nordisk:

List price in 2023: $495

Negotiated price: $119

Discount: 76%

Part D cost from 2023: $2.61 billion 

3. Farxiga, a medication for Type 2 diabetes, heart failure and chronic kidney disease from AstraZeneca:

List price in 2023: $556

Negotiated price: $178

Discount: 68%

Part D cost from 2023: $4.34 billion

4. Enbrel, a therapy for rheumatoid arthritis, psoriasis and psoriatic arthritis from Immunex:

List price in 2023: $7,106

Negotiated price: $2,355

Discount: 67%

Part D cost from 2023: $2.95 billion

5. Jardiance, a Type 2 diabetes and heart failure drug from Boehringer Ingelheim: 

List price in 2023: $573

Negotiated price: $197

Discount: 66%

Part D cost from 2023: $8.84 billion

6. Stelara, a drug for psoriasis, psoriatic arthritis, Crohn's disease and ulcerative colitis from Janssen:

List price in 2023: $13,836

Negotiated price: $4,695

Discount: 66%

Part D cost from 2023: $2.99 billion

7. Xarelto, a blood clot preventive drug and treatment, and a medication for coronary and peripheral artery disease from Janssen:

List price in 2023: $517

Negotiated price: $197

Discount: 62%

Part D cost from 2023: $6.31 billion

8. Eliquis, a preventive drug and treatment for blood clots from Bristol Myers Squibb:

List price in 2023: $521

Negotiated price: $231

Discount: 56%

Part D cost from 2023: $18.28 billion

9. Entresto, a heart failure drug from Novartis:

List price in 2023: $628

Negotiated price: $295

Discount: 53%

Part D cost from 2023: $3.43 billion

10. Imbruvica, a blood cancer treatment from Pharmacyclics:

List price in 2023: $14,934

Negotiated price: $9,319

Discount: 38%

Part D cost from 2023: $2.37 billion

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