Inflation Reduction Act Lowers Health Care Premiums and Prescription Drug Prices for Millions of Seniors and Families
Yesterday, President Biden signed The Inflation Reduction Act into law, which will lower costs and improve health care for millions of Americans. Along with combating inflation and making key investments in climate and energy, this historic legislation will drive down health care premiums for 13 million Americans and lower the cost of prescription drugs. The bill finally reins in Big Pharma’s greed by giving Medicare the power to negotiate lower drug prices, capping seniors’ out-of-pocket drug costs, and stopping egregious price hikes. By passing the Inflation Reduction Act, Democrats overcame unified Republican opposition and record lobbying from Big Pharma and other special interests. Watch President Biden call out Republican lawmakers for siding with Big Pharma here.
The Washington Post: Biden Signs Sweeping Bill To Tackle Climate Change, Lower Health Care Costs. “President Biden on Tuesday signed into law the Inflation Reduction Act, an ambitious measure that aims to tamp down on inflation, lower prescription drug prices, tackle climate change, reduce the deficit and impose a minimum tax on profits of the largest corporations… On Tuesday, Biden said signing the bill into law was something he had looked forward to doing for 18 months.” [The Washington Post, 8/16/22]
The New York Times: Biden Signs Expansive Health, Climate, And Tax Law. “President Biden on Tuesday signed a long-awaited bill meant to reduce health costs, reduce greenhouse gas emissions and raise taxes on corporations and wealthy investors, capping more than a year of on-again, off-again negotiations and cementing his early economic legacy… The bill, which Democrats named the Inflation Reduction Act, invests $370 billion in spending and tax credits in low-emission forms of energy to fight climate change. It extends federal health-insurance subsidies, allows the government to negotiate prescription drug prices for seniors on Medicare and is expected to reduce the federal budget deficit by about $300 billion over 10 years.” [The New York Times, 8/16/22]
AP: Biden Signs Massive Climate And Health Care Legislation. “President Joe Biden signed Democrats’ landmark climate change and health care bill into law on Tuesday, delivering what he has called the “final piece” of his pared-down domestic agenda, as he aims to boost his party’s standing with voters less than three months before the midterm elections. The legislation includes the most substantial federal investment in history to fight climate change — some $375 billion over the decade — and would cap prescription drug costs at $2,000 out-of-pocket annually for Medicare recipients. It also would help an estimated 13 million Americans pay for health care insurance by extending subsidies provided during the coronavirus pandemic.” [AP, 8/16/22]
CBS News: Inflation Reduction Act Could Be “Game Changing” For Millions Of US Seniors. “The Inflation Reduction Act (IRA) that President Biden signed into law Tuesday represents the most important effort in decades to reform how drug prices are set in the U.S. — the nation that spends more per capita on medicine than any other industrialized country… While the law only addresses how Medicare, the health care program for seniors, sets drug prices, advocates of drug reform hope it will set a roadmap for other payers to lower soaring drug costs.” [CBS News, 8/16/22]
USA Today: Biden Signs Climate And Health Care Bill. Now, Democrats Race To Explain Its Benefits. “With a few strokes of a pen on Tuesday, President Joe Biden turned Democrats’ hard-fought climate and health care spending legislation from a bill into a law… After more than a year of negotiations, Democrats used their bare majority to pass a law that incentivizes clean energy investments, lowers prescription drug costs for seniors and extends health insurance subsidies for millions of others. The package that raises a projected $739 billion in revenue will also reduce the deficit, increase IRS enforcement and set a minimum tax rate for large corporations.” [USA Today, 8/16/22]
CNN: Biden Signs Inflation Reduction Act Into Law. “President Joe Biden signed a sweeping $750 billion health care, tax and climate bill into law at the White House on Tuesday — marking a major victory for his administration and the Democratic Party ahead of the midterm elections… The act accomplishes several key Biden legislative agenda items, representing the largest climate investment in American history and making major changes to health policy by giving Medicare the power for the first time to negotiate the prices of certain prescription drugs and extending expiring health care subsidies for three years.” [CNN, 8/16/22]