Health Affairs January 23, 2025
The transition to the Trump-Vance administration is in full swing. Although the specifics of the new administration’s health agenda aren’t clear, some of the first—and most consequential—decisions the Trump White House will have to make are related to the Inflation Reduction Act (IRA). In considering the future of this legislation, which made major changes to Medicare, the new administration will likely try to strike a balance between retaining the law’s positive elements and addressing the features producing uncertain consequences.
Starting in 2025, many Medicare enrollees will benefit from the introduction of an annual $2,000 cap on out-of-pocket costs for the prescription drugs that are included in the formulary of their Part D plans. In 2026, maximum fair prices for...
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