Kelly Applauds Lower Medicare Drug Prices to Help Arizona Seniors
Today, Arizona Senator Mark Kelly celebrated the announcement that Medicare has secured lower prices on 10 of the most expensive drugs in the Medicare Part D program used to treat diabetes, blood clots, arthritis, and other conditions. This historic achievement, made possible by the Kelly-negotiated Inflation Reduction Act, marks the first time in history that Medicare has been able to negotiate drug prices directly with pharmaceutical companies. The newly negotiated prices—which will take effect on January 1, 2026—are expected to save Medicare $6 billion and reduce out-of-pocket costs for millions of seniors in Arizona and across the nation.
“This is a major victory for Arizona families and seniors who have been burdened by high prescription drug costs for far too long,” said Kelly. “By empowering Medicare to negotiate directly with pharmaceutical companies, we are finally putting an end to the unchecked rise in drug prices. This isn’t just about savings—it’s about fairness and ensuring that Arizonans don’t have to choose between paying for their prescription drugs or putting food on table.”
“Today’s announcement marks a significant step forward in our long-standing efforts to lower prescription drug prices,” said AARP Executive Vice President and Chief Advocacy and Engagement Officer Nancy LeaMond. AARP members from across the political spectrum overwhelmingly called lowering prescription drug costs a top concern – and this first round of Medicare-negotiated prices will bring financial relief to millions of older Americans. As the voice for the 100 million Americans ages 50-plus, we will continue working to ensure this law is fully implemented and benefits older Americans for decades to come.”
Background:
During his time in the Senate, Senator Kelly has been a steadfast advocate for lowering prescription drug costs, particularly for seniors and those with chronic conditions. His commitment led to the inclusion of his comprehensive plan in the Inflation Reduction Act, which was signed into law in 2021. This landmark legislation marks the first time Medicare has been granted the authority to negotiate drug prices directly with pharmaceutical companies, a crucial step in reducing healthcare costs for millions of Americans.
Kelly’s plan also includes significant cost-saving measures such as capping the monthly cost of insulin for Medicare beneficiaries at $35 and limiting out-of-pocket expenses for Medicare Part D enrollees to $2,000 annually, starting in 2025. These provisions are designed to ease the financial burden on Arizona’s 1.4 million Medicare beneficiaries, many of whom face high prescription drug costs due to chronic conditions like diabetes and cancer. In addition to these measures, the Inflation Reduction Act holds pharmaceutical companies accountable by requiring them to pay rebates to Medicare if they increase drug prices faster than inflation. This not only helps control the cost of medications but also ensures that the savings are passed on to consumers. These reforms are part of Senator Kelly’s broader effort to make healthcare more affordable and accessible for all Arizonans.
