What does the Inflation Reduction Act mean for you?
September 12, 2023
Last year, President Biden signed the Inflation Reduction Act into law. Many changes are going to occur between 2024 and 2025 that will allow Medicare beneficiaries to better afford their medications. Beginning in 2024, Medicare beneficiaries with Part D plans who are in the catastrophic coverage phase (meaning you have paid more than $7,400 in out-of-pocket costs for your prescription drugs) will no longer have to pay any co-insurance or copayment for their Part D medications. Additionally, CMS has expanded the Low-Income Subsidy/Medicare Part D Extra HELP program so that benefits are fully available to beneficiaries in Medicare who earn less than 150% of the federal poverty level
2025 will also bring additional changes to the Medicare Part D program. Beginning in January 2025, people with Medicare Part D will not have to pay more than $2,000 out-of-pocket for their Part D medications and will have the option to utilize the new Medicare Prescription Payment Plan to spread the cost of their Part D medications across the course of the year.
The Center for Medicare and Medicaid Services (CMS) has published a timeline
to keep beneficiaries up to date on the changes coming to Medicare. If you would like any additional information on how the changes to the Medicare program can benefit you specifically, please reach out to an MS Navigator