Healthcare costs continue to be a significant concern for Americans. While policies like government price controls under the Inflation Reduction Act claim to reduce costs, they may ultimately provide little to no savings for patients. In some cases, these measures could even result in higher out-of-pocket costs.
To better understand the IRA's impact on affordability, the IQVIA Institute hosted a webinar titled Understanding the Impact of CMS Prescription Drug Negotiations on Patient Out-of-Pocket Costs. During the session, We Work For Health Executive Director Dan Leonard joined other stakeholders to discuss how the IRA will affect healthcare access and affordability in the years to come.
Below are key points and takeaways from each of the event speakers:
Dan Leonard, MA, Executive Director of We Work For Health, explained how the IRA’s pill penalty policy discourages the production of small molecule medications, which will ultimately lead to “a shift in higher-cost drugs." Leonard also highlighted the negative impact that federal price controls will have on seniors.
Kirsten Axelson, MS, Senior Policy Advisor at DLA Piper, shared her insights on how the policy changes introduced by the IRA will disrupt patient access to healthcare, particularly for those with serious conditions or limited access to Medicare Advantage prescription drug plans (MAPDs). She stated, "We are likely driving these PDPs, stand-alone health plans, out of business… This means premiums are going to go up, and people are going to have less access to health plans."
Luke Greenwalt, MBA, VP and Lead of the Market Access Center of Excellence, provided context on how these policies will directly affect patient health. As he stated, “The more the patient is asked to pay, the less likely they are to use [a medication].”
Robert Popovian, PharmD, MS, Chief Science Policy Officer at the Global Healthy Living Foundation, reminded the audience that even if the IRA results in savings, those savings will not be reinvested into healthcare. He noted, “All of these savings do not go back to the Medicaid program. The money goes to the general fund, not necessarily to the Medicaid fund, and certainly not necessarily to pay for medicines.”
To see the full webinar recording, please click here and register.