The Inflation Reduction Act and Medicare

Great news – beginning next year, the Inflation Reduction Act will lower some of your costs if you’re on Medicare. Some prescriptions will cost less. More vaccines will cost nothing out-of-pocket.

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The Inflation Reduction Act Cuts Drug Costs

Congress passed the Inflation Reduction Act this year, and it means people receiving Medicare benefits will save money on prescription drugs.

People in the U.S. spend more than $1,500 per person every year on prescriptions. Prices are higher than in other countries. One of the main reasons is a lack of market competition. The Act increases competition, which will lower drug prices. Before the Act was passed, more than 5 million people with Medicare were having trouble paying for their prescriptions.

Here’s what the new law will give you.

Braven Health Smart Card

Transcript

[Announcer]

The Braven Health Smart Card gives you access to a wide range of your extra benefits.

It’s as easy as swiping your card.

But first, you must activate your Smart Card before using it. You can do this online at BravenSmartCard.com or by calling 1-844-210-2175.
[Text Appears: Activate Your Card
BravenSmartCard.com
Call 1-844-210-2175 (TTY 711)]
[Image on Screen: QR code]

Here are three important things to know about your Braven Health Smart Card.
[Text Appears: 3 Things to Know About Your Braven Health Smart Card]
[Image on Screen: Image of Braven Health Smart Card]

Number one. You can use your Smart Card like a debit card to access hundreds of dollars in extra benefits.
[Text Appears: 1. Use your Smart Card to access extra benefits]

You have separate allowances for health-related items and services. This includes allowances for over-the-counter items, your Fitness benefit, health-related items and services under your Flex benefit and the Grocery benefit for those who qualify.
[Text appears: Separate Allowances for Health-Related Items and Services
-OTC items
-Fitness programs and equipment
-Flex benefit
-Grocery items* (For those who qualify)]

Plus, you can earn a bonus allowance from the Healthy Journey Rewards Program when you complete health-related activities.
[Text appears: Get Rewarded for Health-Related Activities
-Annual wellness visit
-Breast cancer screenings
-Colorectal cancer screenings
-And more!]

Number two. OTC and Grocery benefit allowances get loaded onto your card every three months.
[Text appears: 2. OTC and Grocery benefit]

Be sure to use these allowances before the end of each quarter, because they will not carry over.
[Text appears: Reloads Every Three Months
-January 1
-April 1
-July 1
-October 1
(Only members with certain chronic conditions qualify for the Grocery benefit)]

At the start of each quarter – your card will then be reloaded with a new 3-month allowance.

Just remember, check your balance often because any unused balances will expire at the end of each quarter before new funds are added.

Number three. It’s easy to check your balance for each benefit allowance.
[Text appears: 3. Create an online account]

When you create an online account, you can check your balance, find and buy eligible items and locate participating stores near you.
[Image on Screen: Computer screen showing online account tools]

Go to BravenSmartCard.com or download the MyTotal Benefits app on your smartphone to get started.
[Text Appears: BravenSmartCard.com
Download the MyTotal Benefits app]
[Image on Screen: QR code, Smartphone screen showing the MyTotal Benefits app installing]

If you have questions about your Smart Card, we’re here to help.

Call 1-800-688-9140, weekdays, from 8 a.m. to 8 p.m.
[Text Appears: Smart Card Member Services
1-800-688-9140 (TTY 711)
Call us weekdays, 8 a.m. – 8 p.m.,
Eastern Time]

[Image on screen: Braven Health logo]
[Text appears: Legal disclaimer]

Better Prescription Drug (Medicare Part D) Coverage

For people with diabetes, starting January 1, 2023, the cost of a month’s supply of Part D covered insulin on your plan’s list of covered drugs will be no higher than $35. And, you won’t have to pay a deductible for insulin.
- To make sure Medicare beneficiaries are getting these savings right away, if you're charged more than $35 per month for insulin in the first few months after this new limit is enacted, you'll be reimbursed for the difference.
- If you get a 60- or 90-day supply of insulin, you don’t have to pay more than $35 for each month’s supply.
- If you take insulin through a traditional pump, covered under Medicare’s durable medical equipment benefit, that insulin is covered under Medicare Part B and is also capped at $35 for a one-month supply.
Extra Help affording prescription drug coverage – the Part D Low-Income Subsidy (LIS) program – will expand to give more reduced cost-sharing to people with limited resources who earn less than 150% of the federal poverty level, starting in 2024.
Starting in 2024, your yearly Part D out-of-pocket costs will be capped at $3,250. In 2025, these costs will be capped at $2,000.

Negotiated Drug Prices

For the first time in its history, Medicare will be able to negotiate directly with drug companies for the lowest price. This goes for high-cost brand-name Medicare Part B and Part D drugs that don’t have market competition.

In 2023, Medicare will announce the first 10 drugs selected for negotiation.
- Negotiated lower prices for those first 10 drugs will be in place in 2026.
Manufacturers that don’t follow the negotiation requirements will have to pay a tax. They’ll have to pay penalties, too, if they don’t fulfill other manufacturer requirements.

$0 Vaccines

Starting in 2023, people with Medicare Part D drug coverage will pay nothing out-of-pocket for more vaccines recommended by the government’s Advisory Committee on Immunization Practices. These include vaccines for shingles and tetanus-diphtheria-whooping cough.

Get More Info

You can check out Medicare.gov for more info on the changes coming through the Inflation Reduction Act.