Medicare Takes a Stand: New Plans to Cut Drug Costs

The U. S. government has rolled out two new plans to tackle high drug prices for seniors and people with disabilities. These plans, called GUARD and GLOBE, will start in 2026 and 2027. The goal is to make sure drug prices under Medicare are more like those in other countries with similar economies. GUARD and GLOBE will use price comparisons from other countries to decide how much drug companies should pay back and how much patients should pay out of their own pockets. GLOBE will focus on drugs for cancer, autoimmune diseases, eye problems, and hormonal issues. It will start next October and run until 2031. GUARD will look at drugs covered under Medicare Part D, which helps pay for outpatient medications. It will start in January 2027 and also end in 2031.Out-of-pocket costs include things like co-pays, flat fees, and coinsurance, which is a percentage of the drug price. The hope is that these new plans will make drugs more affordable for those who need them. But will these plans really work? It's hard to say. Drug companies might not like the idea of paying rebates. And patients might still struggle with high costs. Only time will tell if these new plans make a real difference.