Earlier this year, Congress took steps to close the infamous Medicare drug “donut hole” a year early through provisions included in the Bipartisan Budget Act (BBA) of 2018. However, these changes, while ostensibly meant to address prescription drug affordability for Medicare patients, were a last-minute addition that missed the opportunity to pursue meaningful improvements.
Instead of tackling long-term, meaningful reductions in cost-sharing or direct benefits, the policy simply shifts responsibility from one industry to another. Setting aside how the changing dynamic may affect incentives for plans to manage costs, the real problem is that this action gives the illusion of progress while foregoing steps that could more directly improve affordability for patients.
