Seniors on Medicare plans will pay no more than $35 a month for insulin, thanks to a new agreement between insurance and drug companies and the administration of President Trump.
Insulin co-pays are now capped at $35 for enrollees in more than 1750 Medicare Part D drug plans. The new plan is called Part D Senior Savings Model.
The voluntary new benefit will be available to seniors in all 50 states, Washington, D.C., and Puerto Rico during open enrollment beginning Oct. 15.
The new insulin costs represent a discount of more than 65 percent on a wide variety of insulin formulations, including short, long, and rapid acting insulins.
The Centers of Medicare and Medicaid Services (CMS) estimates that each participant will save an average of $446 annually.
Meanwhile, even the federal government will be saving money. CMS projects a $250 million savings over five years because manufacturers will pay coverage gap discounts.
CMS Administrator Seema Verma said that the "Part D Senior Savings Model provides an innovative market-driven approach that removes barriers to lower insulin costs. We call on health insurance plans and prescription drug manufacturers to take action and provide relief for America's seniors who take insulin."
For seniors on Medicare, CMS will soon send information as to which plans are participating in the insulin program as part of Open Enrollment.
