Biden Administration Caps Insulin Price for Medicare Beneficiaries

The Administration of President Joe Biden ran into $35 dollars the price of insulin [tratamiento de un mes] for Medicare beneficiaries, as part of measures to stop rising inflation in United States.

In a statement, the White House reported that “a month’s supply of insulin is now capped at $35 for diabetics in Medicare, thanks to the Inflation Reduction Law of President Biden.”

That regulation was one of the most significant victories for Biden in 2022. It was a $750 billion health care, tax and climate bill, which was signed into law in August.

The legislation provided that the price of insulin for Medicare beneficiaries would be capped at $35 starting January 1, and included increases in the minimum wage in several states and tax incentives for the purchase of electric cars.

Diabetes is a disease that affects millions of Americans, regarding 3.3 million Medicare beneficiaries used insulin in 2020.

That same year the Kaisery Family Foundation revealed that patients spent an average of $54 per month of insulin prescription; but the cost would have risen to $100 per prescription for a month in 2022.

However, the cap of $35 from January 1 is limited and does not benefit people with private insurance coverage; as Senate Democrats failed to get the 10 Republican votes they needed to pass a more comprehensive provision.

An American mother with two children with diabetes can spend up to $200 a month on prescriptions, a woman told the news outlet NBC News.

She stated that since she has private insurance, her two children will not benefit from the measure.

Among other measures included in the Inflation Reduction Law There is also the increase in the minimum wage in the following states: Arizona, California, Colorado, Delaware, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Montana, Nebraska, New Jersey, New Mexico, Ohio, Rhode Island, Dakota South, Vermont and Washington.

Workers earning the minimum wage in Connecticut will have to wait until June 1 to see the increase, while the change goes into effect in Nevada and Florida on July 1 and September 30, respectively.

The increase is already in effect in New York for workers outside of New York City, Long Island and Westchester County.

Incentives in tax credits for people with electric vehicles were also enabled. The new Inflation Reduction Act encourages the use of vehicles made in North America.

If much of the battery components and final assembly originate in the region they are eligible for tax credits of up to $7,500. Furthermore, if at least 40% of the minerals used for the battery were extracted in the country or in another country that has a free trade agreement with the US.

In May of last year, before the Law was enacted, inflation in the US registered the highest rise in 41 years: 8.6%. Consumer prices accelerated as gasoline prices hit a record and the cost of food soared, leading to the biggest annual increase in nearly 40 1/2 years.