August 12, 2022
U.S. House of Representatives
Washington, DC 20515
On behalf of the millions of members and supporters of the National Committee to Preserve Social Security and Medicare, I urge you to vote for the Senate-passed H.R. 5376, Inflation Reduction Act which will reduce prescription drug costs and extend Affordable Care Act (ACA) premium subsidies.
Prices for the most commonly prescribed drugs for seniors have increased ten times the rate of inflation since 2013. Medicare beneficiaries pay thousands of dollars a year in out-of-pocket drug costs they can’t afford. Some seniors have been cutting pills in half or outright skipping doses of lifesaving medications. The Inflation Reduction Act would make prescription drugs more affordable for millions of older Americans and people with disabilities by:
- Requiring the Secretary of Health and Human Services (HHS) to negotiate with pharmaceutical manufacturers on the prices on select numbers of the costliest drugs.
- Requiring drug companies to rebate to the government the amount by which drugs used under Medicare Part B and D rise faster than inflation.
- Capping Medicare beneficiaries’ Part D out-of-pocket costs at $2,000 per year.
- Covering the entire cost of all vaccines for Medicare beneficiaries.
- Expanding beneficiary eligibility for premium and co-pay assistance on prescription drugs from 135 percent to 150 percent of the federal poverty level.
- Limiting beneficiary monthly insulin costs to $35 per month.
We also support a provision in H.R. 5376 that will extend the Affordable Care Act (ACA) premium subsidies for an additional three years. Without the extension of subsidies made possible by the American Rescue Plan Act, many seniors age 64 and younger who are enrolled in ACA marketplace health plans could be forced to pay more than a 300 percent increase for their insurance premiums.
Lifting the prohibition on negotiating certain high-cost prescription drug prices will finally enable Medicare to contain, and even, lower skyrocketing drug costs paid by seniors and taxpayers. And extending subsidies to make health plan premiums affordable for individuals not yet eligible for Medicare will help millions of working and middle-class Americans keep essential health insurance. For these reasons, the National Committee urges you to vote for the Inflation Reduction Act.
President and CEO