WASHINGTON, D.C.–If you paid too much the last time you bought a prescription, you’re in the same boat as many Hoosiers and Americans. The Trump administration has started a program they believe will wean drug companies off of the high prices that Americans pay.
Sec. for Health and Human Services Alex Azar, a former exec. at Eli Lilly, said he believes the program will result in lower prices for everyone evntually, starting with older people.
Pres. Trump spoke about the plan during his State of the Union address.
Azar said the plan involves restructuring the way Medicare pays out for drugs, and how much it pays. Azar said other countries like Japan, German and Canada are getting discounts.
“Medicare is paying 180 percent for the most expensive drugs that doctors and hospitals administer in the program,” he said. “America is gonna get the benefit of those discounts and that’ll bring down our prices by 30 percent over the next five years.”
He said one half of the country will be involved at first.
Trump and Azar promised prescription pricing transparency would increase to an “historic new level”. The proposal promises kickbacks to middle men will stop.
Critics have said the proposal may not have a significant impact because the proposal does not actually regulate prices, but seeks to decrease them gradually.
PHOTO: Alex Azar official portrait