President Biden’s top priority is to cut costs for the American people. He was proud to have signed the Inflation Control Act into law, taking Big Pharma to allow Medicare to negotiate first-time prescription drug costs, cover seniors drug costs at the pharmacy and the cost of insulin, and lower health insurance premiums for people covered through the Care Act Soft. President Biden and Democrats in Congress are committed to protecting and promoting Social Security and Medicare.
Republicans in Congress have a very different view. They promised to strip Medicare of the right to negotiate drug prices and to remove the $2,000 cap on out-of-pocket pharmacy expenses. Rick Scott, the Republican senator from Florida and chair of the Republican Senate’s National Committee, has advocated a plan to put Medicare, Medicare, and Social Security on hold every five years. Moreover, congressional Republicans have repeatedly pledged to hold the American economy hostage by refusing to raise the debt limit unless they can slash Social Security and Medicare benefits that tens of millions of Americans have received. previously paid to.
Here’s what the congressional Republicans’ plan means:
Part One: Putting foundation programs like Social Security and Medicare into trouble and threatening the global economy unless those programs are cut
All Medicare, Medicaid and Social Security beneficiaries will see their benefits threatened under Senator Rick Scott’s plan to put those programs on hold every five years. Seeing Senator Ron Johnson put them to a vote every year will only make it worse.
Republican leaders in Congress have also repeatedly said that they will use the debt limit as leverage to cut back on these core programs. Republicans in Congress have supported Medicare and Social Security cuts including:
- Gradually increasing the Medicare age of eligibility to 67 and the Social Security eligibility age to 70. (Republican Study Committee on FY2023 Budget)
- Convert Medicare benefits into a voucher where seniors will get a fixed amount of money to buy a private health plan (Better Way Plan) or offer beneficiaries the option to transition to the Premium Support Scheme (Republic Study Committee budget for FY2023) – potentially hundreds or thousands Dollars in extra petty cash for seniors across the country.
Part Two: Repealing Prescription Medicines and Healthcare Provisions in the Inflation Reduction Act
President Biden has worked for decades to allow Medicare to negotiate drug prices, and it’s finally happening thanks to the Inflation Control Act. This will save billions of dollars for both Medicare beneficiaries, who will see reduced premiums and costs out of their own money, and the federal government. The Kaiser Family Foundation estimates that approximately 5 to 7 million beneficiaries each year use the higher-cost types of drugs that can be subject to negotiation and will directly face higher cost-sharing if these provisions are repealed.
The Inflation Control Act also requires prescription drug companies to pay rebates if drug prices increase faster than inflation. According to an analysis by the Department of Health and Human Services, the cost of 1,200 prescriptions has risen faster than inflation in the past year alone — some prescription drugs have increased by $1,000 in just one year. If Republicans in Congress repeal the Inflation Cut Act, drug companies would be able to continue raising prices without paying a discount, rather than putting that money back into Americans’ pockets.
Before the Inflation Control Act, Medicare beneficiaries with conditions like cancer, multiple sclerosis, and lung disease could have faced thousands of dollars in out-of-pocket prescription drug costs each year. Thanks to President Biden and the Congressional Democrats’ Inflation Reduction Act, these costs will be set at $2,000 per year, saving more than 1 million beneficiaries an average of more than $1,300 per year. If Republicans in Congress got what they wanted and repealed the law, each year more than 1.4 million Medicare beneficiaries would pay — thousands of extra dollars in some cases — for drugs at the pharmacy.
Drug manufacturers have raised insulin prices so quickly over the past few decades that some Medicare beneficiaries are struggling to purchase this life-saving drug that costs less than $10 to manufacture. Today, Medicare beneficiaries enroll in plans that must cap the cost of personal insulin at no more than $35 per month per prescription, a protection they would lose if the law were repealed.
The Inflation Reduction Act saves 13 million Americans an average of $800 annually on their healthcare premiums, by continuing improvements to the Affordable Care Act (ACA) premium tax credits enacted in the US bailout. By making health care more affordable, these improvements expanded coverage to millions of people, helping bring the rate of the uninsured to an all-time low. Starting today, during the open enrollment season, Americans can choose health insurance plans that maintain the cost savings of the Inflation Reduction Act of 2023. But congressional Republicans would rescind that assistance, raise premiums higher, and threaten the Biden administration’s progress in driving an unfair rate. The insured to the lowest historical level. Older Americans will see especially big hikes in insurance premiums; In most states, the annuity for a 60-year-old earning $60,000 more than doubles to more than $10,000.