The Effect of Medicare’s Drug Price Negotiation Program on Out-of-Pocket Spending

Mathematica has published a report examining the potential impact of the Medicare Drug Price Negotiation Program (DPNP) on out-of-pocket spending for different groups of Medicare Part D enrollees. By simulating the DPNP process, Mathematica estimated what ceiling prices and out-of-pocket expenses on the 10 highest-expenditure drugs would have been in 2021, the most recent year for which complete Part D data were available. The report examines the disparities in reduced out-of-pocket spending among various racial, ethnic, and beneficiary groups, focusing on the differential impact of the DPNP policies....