Medicare's New Negotiated Drug Prices for 2026: What You Need to Know

MN Health Staff Writer | January 28, 2026

In a landmark move aimed at making healthcare more affordable and accessible, the Inflation Reduction Act of 2022 included the negotiation of drug prices for a selection of medications starting in 2026. This initiative is part of a broader effort to ease the financial burden on Americans, particularly seniors, who often face exorbitant costs for essential medications. Here’s a closer look at the drugs involved, the implications of these price negotiations, and what this means for Medicare beneficiaries.

 

The Purpose of Price Negotiations

 

The primary goal of these price negotiations is to reduce out-of-pocket costs for Medicare beneficiaries. By leveraging its purchasing power, Medicare aims to secure lower prices from pharmaceutical companies, potentially saving billions of dollars in healthcare spending. This initiative is expected to not only make essential medications more affordable but also improve access to necessary treatments for millions of Americans.

 

Medications with Newly Negotiated Prices

 

For 2026, 10 high-cost medications have newly negotiated prices under Medicare. Here are the key drugs included in this initial round of negotiations:

 

• Eliquis

 

• Enbrel

 

• Entresto

 

• Farxiga

 

• Fiasp and NovoLog

 

• Imbruvica

 

• Januvia

 

• Jardiance

 

• Stelara

 

• Xarelto

 

Implications for Patients and the Healthcare System

 

Benefits for Medicare Beneficiaries

 

• Reduced Out-of-Pocket Costs: Patients will likely see a reduction in their prescription drug expenses, making it easier to adhere to prescribed treatments.

 

• Improved Access to Medications: Lower prices can lead to increased access, ensuring that more people can obtain the medications they need without financial barriers.

 

• Healthier Outcomes: With greater access and affordability, patients are more likely to maintain their medication regimens, potentially leading to better health outcomes.

 

Broader Impacts on the Healthcare System

 

• Pressure on Pharmaceutical Companies: This move may encourage pharmaceutical companies to reevaluate their pricing strategies and explore innovative ways to reduce costs.

 

• Setting a Precedent: Successful negotiations could pave the way for similar initiatives in other healthcare sectors, fostering a more sustainable and equitable healthcare system.

 

Looking Ahead

 

Medicare’s Second Set of Medications with Negotiated Prices

 

• Ozempic, Rybelsus, Wegovy

 

• Trelegy Ellipta

 

• Xtandi

 

• Pomalyst

 

• Ofev

 

• Ibrance

 

• Linzess

 

• Calquence

 

• Austedo, Austedo XR

 

• Breo Ellipta

 

• Xifaxan

 

• Vraylar

 

• Tradjenta

 

• Janumet, Janumet XR

 

• Otezla

 

In conclusion, Medicare's decision to negotiate drug prices represents a critical step toward making healthcare more affordable and accessible. As these changes take effect, they promise to alleviate the financial burden on countless Americans and enhance the overall quality of care. The potential benefits for patients and the healthcare system are significant.

 

As always, it is important for Medicare beneficiaries to understand their coverage to predict costs and ensure coverage on their prescriptions. Our agents can help ensure you find a Medicare plan that is the right fit for you and your prescriptions.