Trump Revokes Biden-Era Medicare Drug Pricing Orders

livewell
January 22, 2025
Noah Bennett

President Donald Trump starts his healthcare plans for the second term. His current actions are revoking that numerous policies from the Joe Biden administration will not be included. One such policy that will influence several U.S.-based individuals is medicare drug pricing.

After signing the sweeping order on Monday, several executive orders on healthcare from the Biden administration, such as initiatives to reduce prescription drug costs for Medicare and Medicaid recipients will not be carried forward. Moreover, Trump healthcare policy, according to experts is inconsequential. On the other hand, Trump believes that Biden’s policies are “deeply unpopular” and “radical”.

Further Insights on Drug Prices

Biden’s initiative reversed by Trump further instructed Medicare to explore methods for reducing drug costs. In addition, including the possibility of implementing a $2 monthly out-of-pocket limit on specific generic medications. Moreover, medicare drug prices by Biden’s major health care measures were not impacted by Trump’s executive actions on Monday. $35 monthly cap on insulin, a $2,000 annual out-of-pocket limit on prescription drugs, and Medicare’s authority to negotiate drug prices remain the same.

Due to all these recent changes in medicare drug pricing, a statement by Dusetzina also came forward, not just in terms of Trump but presidents all over;

“When administrations change over, many of them want to undo some of the actions of other presidents, even when those are more symbolic.”

She further stated:

“It could mean that the Trump administration is not interested in pursuing any of the work that has since developed out of these executive orders.”

More Changes in Medicare and Medicaid

What goes on for Medicare and Medicaid is still unclear as to what further actions will be taken by Trump. According to the Inflation Reduction Act, Medicare has been negotiating drug prices. In addition, Trump annulled an order aimed at strengthening Medicaid, which included providing funding to states. A statement by Levitt, executive vice president of health policy of a non-profit group, also came forward:

“Trump is kind of wiping the slate clean.”

He further stated:

“If you contrast Day 1 of this Trump administration with the last one, it is a different approach to health care.”

Wrapping Up

Drug pricing by Trump’s administration has disturbed the ongoing coverage. What goes on for low-cost prescriptions for seniors is still unclear. Negotiations are still in progress, but Arthur Caplan, head of the division of medical ethics at the Grossman School of Medicine, says “Trump is moving with caution.” Furthermore, Trump’s actions are expected to have little impact on medicare drug pricing for people paying out-of-pocket health care expenses.