Senate considers allowing Medicare to negotiate drug prices

Kaiser Health News published an article about proposed legislation to allow Medicare to negotiate drug prices, which it is currently prohibited by law. After years of rapidly increasing drug prices, it seems that curbing further price increases is broadly popular among Americans.

It is unclear why Republican senators would all oppose this legislation, but the article reports that Democrats plan on using the budget reconciliation process, avoiding the possibility of a filibuster. If passed, up to ten drugs may be negotiated with prices becoming effective in 2026 (price negotiations for up to another ten drugs could take effect by 2029). The timeline seems rather long, but the effect could be large. It is also unclear whether Medicare negotiations will eventually affect prices for private insurers.