The Trump administration on Tuesday announced the next round of prescription drugs up for Medicare price negotiations. The list includes Botox and the GLP-1 drug Trulicity.
The negotiations stem from President Joe Biden’s Inflation Reduction Act of 2022, which gave the Centers for Medicare and Medicaid Services the authority to haggle over prices on the costliest prescription drugs each year. The results from the first round of negotiated prices went into effect this year.
The drugs selected for this round of negotiation accounted for about $27 billion in total prescription drug spending under Medicare Part B and Part D, according to CMS.
Medicare Part B covers drugs administered in a health care facility, such as intravenous chemotherapy; Medicare Part D covers prescription drugs.
Drugmakers can choose not to negotiate, but doing so would likely mean removing their drugs from Medicare — one of the nation’s largest markets. The companies have until Feb. 28 to decide whether they will participate in negotiations. (In the past two rounds of negotiations, no drugmakers opted out.)
The negotiated prices will go into effect in 2028.
Medicare doesn’t cover Botox for cosmetic reasons, but the drug does have a number of other uses, including to treat chronic migraines, overactive bladder, muscle stiffness and lazy eye.
In November, CMS announced lower prices on prescription drugs including Ozempic and Wegovy, which will go into effect in 2027.
The drugs up for Medicare negotiations this year are:
- Anoro Ellipta, for COPD.
- Biktarvy, for HIV.
- Botox; Botox Cosmetic, including for migraines, bladder dysfunction and muscle spasms.
- Cimzia, for Crohn’s disease, rheumatoid arthritis and other autoimmune diseases.
- Cosentyx, a psoriasis drug.
- Entyvio, for Crohn’s disease and ulcerative colitis.
- Erleada, for prostate cancer.
- Kisqali, for breast cancer.
- Lenvima, for several cancers.
- Orencia, for rheumatoid arthritis.
- Rexulti, an antipsychotic.
- Trulicity, for diabetes.
- Verzenio, for breast cancer.
- Xeljanz; Xeljanz XR, for autoimmune conditions.
- Xolair, for allergies and asthma.
The administration said it also decided to renegotiate a drug, the Type 2 diabetes drug Tradjenta, which had been selected for negotiations under Medicare’s second round.
