Share the Savings with Seniors Act
Share the Savings with Seniors Act
Plain Language Summary
# Share the Savings with Seniors Act (S 2770) — Plain Language Summary **What the Bill Does** This bill would reduce what Medicare beneficiaries have to pay out-of-pocket for certain common chronic disease medications, including drugs for diabetes, blood clotting, and other long-term conditions. Specifically, it caps the amount seniors pay for these drugs before reaching their annual deductible, and limits their costs to a percentage of the drug's negotiated price after that point. The goal is to pass savings from pharmaceutical manufacturer discounts directly to seniors rather than keeping those savings within the insurance system. **Who It Affects** The bill primarily affects Medicare beneficiaries (seniors age 65+) who take medications for chronic conditions like diabetes and heart disease.
It also indirectly affects drug manufacturers, insurance companies, and potentially the federal government's Medicare budget, depending on how the cost shifts play out. **Current Status** The bill was introduced by Senator John Cornyn (R-TX) and is currently in committee, meaning it has not yet been voted on by the full Senate. No action has been taken to advance it further.
CRS Official Summary
Share the Savings with Seniors ActThis bill limits cost-sharing for chronic care drugs under the Medicare prescription drug benefit. Chronic care drugs include blood glucose regulators other than insulin, anticoagulants, and other categories of drugs as specified in the bill.Specifically, for costs below the annual deductible, the bill caps cost-sharing for chronic care drugs at the net price of the drug (i.e., the negotiated price net of all manufacturer price concessions); for costs above the annual deductible and below the annual out-of-pocket threshold, cost-sharing must be based on a percentage of the drug's net price (if cost-sharing for that drug is tied to the price or cost of the drug).
Latest Action
Read twice and referred to the Committee on Finance.