DETROIT, Mich. -- Lower health care and prescription drug costs for Michigan residents will go into effect January 1.
It is thanks to the Inflation Reduction Act that was signed into law by Congress in August. U.S. Senators Gary Peters and Debbie Stabenow say a 35-dollar monthly cap on the cost of insulin for Medicare recipients and free vaccines for seniors on Medicare are among the new measures that will take effect in the new year.
Another provision requires pharmaceutical companies to pay back the federal government through rebates, if prices for critical prescription drugs covered through Medicare rise faster than inflation.
"This measure is aimed to lower costs for Medicare patients and discourage pharmaceutical companies from exploiting inflation to hike up their prices," the Michigan U.S. Senators said in a news release.
Beginning January 1, 2023, the following Inflation Reduction Act provisions will go into effect:
- Insulin will cost no more than $35 a month for seniors on Medicare.
- Estimates show that more than 73,000 Michigan seniors with diabetes are expected to benefit from this measure that caps out-of-pocket costs at $35 a month for insulin.
- All vaccines will be free for seniors on Medicare.
- Approved vaccines under Medicare Part D will be free, which will help an estimated 176,500 Michiganders.
- With this provision implemented, nearly 9 out of 10 of Americans will have access to vaccines with no out-of-pocket costs.
- Prescription drug rebates will go into effect for Medicare.
- Pharmaceutical companies will be required to pay back the federal government through rebates if prices for critical prescription drugs covered through Medicare rise faster than inflation. This measure is aimed to lower costs for Medicare patients and discourage pharmaceutical companies from exploiting inflation to hike up their prices.