Rep. Adriano Espaillat Releases Reports Showing the Inflation Reduction Act Will Lower Health Care Costs for Local Families

 

Today, Representative Adriano Espaillat (NY-13) announced that families in the 13th Congressional District of New York will soon see more affordable prescription drugs for Medicare recipients and lower health insurance premiums made possible by the Inflation Reduction Act.

“For far too long, big corporations have forced many Americans to choose between paying for health care—including lifesaving medication and insurance coverage—and putting food on the table.  With the Inflation Reduction Act now the law of the land, Democrats in Congress have taken bold steps to rein in out-of-control health care costs,” said Rep. Espaillat.  “I’m proud to have voted for this transformational legislation to lower health care costs for families across my district.”

Inflation Reduction Act benefits for 13th Congressional District residents include:

Affordable Health Care

By extending critical tax credits set to expire this year, the Inflation Reduction Act will help 4,456 people in the district currently enrolled in subsidized marketplace health insurance coverage through the Affordable Care Act save an average of $1478 in premiums starting next year.

 

Thanks to the Inflation Reduction Act, a family in the district with two adults, two children, and a household income of $75,000 could save $2,832 on their premiums next year. 

 

A household of two adults over the age of 60 with a joint income of $70,000 could save $8,868 on their premiums next year.

 

Lower Prescription Drug Costs

The Inflation Reduction Act caps Medicare beneficiaries’ annual out-of-pocket costs for prescription drugs covered by Medicare Part D at $2,000 per year starting in 2025.  An estimated 6,000 Medicare Part D beneficiaries in the district had out-of-pocket costs above $2,000 in 2020. 

 

For the estimated 9,900 Medicare beneficiaries receiving insulin in the district, the new law will cap monthly copayments for insulin products at $35 per month.

 

The Inflation Reduction Act finally allows the government to negotiate lower drug prices with Big Pharma.  If the Inflation Reduction Act’s drug pricing provisions had been fully in effect in 2020:

 

*  The total cost of prescriptions filled by Medicare beneficiaries in the district could have been $80 million lower.

*   Medicare beneficiaries in the district could have saved a total of $25 million in reduced premiums and out-of-pocket costs.

The urgent need for these reforms was demonstrated by Committee on Oversight and Reform’s landmark drug pricing investigation, which revealed how the pharmaceutical industry’s uninhibited pricing practices lead to price gouging and runaway costs for Americans.

The following reports detail benefits of the Inflation Reduction Act health coverage provisions and benefits of the Inflation Reduction Act Medicare drug pricing provisions for 13th District residents.