WASHINGTON, D.C. (February 8, 2018) – Today, Pharmaceutical Research and Manufacturers of America (PhRMA) President and CEO Stephen J. Ubl provided the following statement:
“Our industry has long supported efforts to make prescription drug coverage more affordable for Medicare Part D beneficiaries. Rather than prioritizing lowering seniors’ out-of-pocket costs, this proposal provides a massive bailout for insurance companies and undermines their incentive to reduce Part D costs, an incentive that has worked well for more than a decade.
“An analysis by Avalere estimates that the proposal will save Part D insurance plans over $40 billion – roughly 7 times what Medicare Part D beneficiaries will save from these changes. We should not give insurance companies billions of dollars in additional relief when they don’t share most of the discounts they currently receive with seniors at the pharmacy counter.
“Instead, Congress should use Part D savings to improve affordability and predictability for seniors, such as adding an out-of-pocket cap and giving seniors access to discounts at the pharmacy.”
Background on proposed Medicare Part D changes:
The Pharmaceutical Research and Manufacturers of America (PhRMA) represents the country’s leading innovative biopharmaceutical research companies, which are devoted to discovering and developing medicines that enable patients to live longer, healthier, and more productive lives. Since 2000, PhRMA member companies have invested more than half a trillion dollars in the search for new treatments and cures, including an estimated $65.5 billion in 2016 alone.
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