Kelsey Lang, principal of Avalere, breaks down the three provisions of the Inflation Reduction Act, which was discussed today at the annual Asembia Specialty Pharmacy Summit in Las Vegas.
There are currently three provisions part of the inflation Reduction Act.
Kelsey Lang, principal of Avalere, along with a couple members of her team, addressed these provisions today at the annual Asembia Specialty Pharmacy Summitt in Las Vegas.
In addition, her team discussed the types of things plans, manufacturers, pharmacies and other stakeholders should be planning for, as the law continues to be implemented over the next several months.
The provisions that are underway and affecting these pharamcy groups are a penalty for manufacturers that increase prices faster than the rate of inflation. This provision happens to be in effect today. The Act also requires Medicare to redesign the Part D benefit starting in 2025, as well as gives the Medicare program the authority to directly negotiate drug prices for the first time beginning in 2026.
"So thinking ahead to these other provisions, CMS is implementing policies now and making policy decisions that are going to impact things like how manufacturers approach product development, the benefit design in the party program, contracting for drugs, as well as access to care," said Lang in the video interview.