Drug Prices

Extracted Attributes

• Key Pricing Strategy

  Most Favored Nation Status Pricing

• Market Intermediaries

  Pharmacy Benefit Managers (PBMs)

• Administrative Priority

  Lowering drug prices through competition and transparency

• Primary Regulatory Body

  U.S. Food and Drug Administration (FDA)

• Price Comparison (U.S. vs. OECD)

  2.78 times higher for all drugs; 3.22 times higher for brand-name drugs (2022 data)

Timeline

• ASPE releases a report comparing insulin prices in the United States to other countries. (Source: Comparing Prescription Drugs in the U.S. and Other Countries)

  2020-09-23

• A study by RAND Health Care finds U.S. drug prices are nearly 2.78 times as high as prices in other OECD countries. (Source: Comparing Prescription Drugs in the U.S. and Other Countries)

  2022-07-01

• CMS announces signed agreements with manufacturers for 15 drugs selected for the second cycle of Medicare Part D negotiations. (Source: Selected Drugs and Negotiated Prices)

  2025-03-14

• The Trump administration begins securing deals with 16 pharmaceutical companies for tariff breaks in exchange for drug discounts. (Source: Many brand-name drug prices are going up, despite Trump administration deals)

  2025-09-30

• Analysis reveals that prices for 872 drugs increased in the first two weeks of the year despite administration efforts. (Source: Many brand-name drug prices are going up, despite Trump administration deals)

  2026-01-14

• Target launch date for trumprx.gov, a website intended to offer drug discounts to cash-paying consumers. (Source: Many brand-name drug prices are going up, despite Trump administration deals)

  2026-01-31

• Negotiated prices for the second cycle of the Medicare Drug Price Negotiation Program are scheduled to become effective. (Source: Selected Drugs and Negotiated Prices)

  2027-01-01

Medication

Medication (also called medicament, medicine, pharmaceutical drug, medicinal product, medicinal drug, or simply drug) is a drug used to diagnose, cure, treat, or prevent disease. Drug therapy (pharmacotherapy) is an important part of the medical field and relies on the science of pharmacology for continual advancement and on pharmacy for appropriate management. Drugs are classified in many ways. One of the key divisions is by level of control, which distinguishes prescription drugs (those that a pharmacist dispenses only on the medical prescription) from over-the-counter drugs (those that consumers can order for themselves). Medicines may be classified by mode of action, route of administration, biological system affected, or therapeutic effects. The World Health Organization keeps a list of essential medicines. Drug discovery and drug development are complex and expensive endeavors undertaken by pharmaceutical companies, academic scientists, and governments. As a result of this complex path from discovery to commercialization, partnering has become a standard practice for advancing drug candidates through development pipelines. Governments generally regulate what drugs can be marketed, how drugs are marketed, and in some jurisdictions, drug pricing. Controversies have arisen over drug pricing and disposal of used medications.

Web Search Results

• Many brand-name drug prices are going up, despite Trump ...

  Every January, pharmaceutical companies increase the prices of hundreds of drugs. This year there's a disconnect between the deals with the Trump administration on some drug prices versus others. JUANA SUMMERS, HOST: Every January, drug companies typically raise prices for hundreds of brand-name drugs, but over the last few years, the Trump and Biden administrations have tried to rein in high drug prices. NPR pharmaceuticals correspondent Sydney Lupkin is here with more. Hi. SYDNEY LUPKIN, BYLINE: Hi. SUMMERS: So, Sydney, start by telling us how many drug prices went up this year. [...] LUPKIN: Yeah. The Trump administration has been trying to crack down on high drug prices in America and getting other countries to pay their, quote, "fair share." The administration calls it most-favored nation drug pricing. Since the end of September, 16 companies have made deals in exchange for a break on certain tariffs. The deals vary but include discounts on some drugs available to people paying cash, that is, not using their health insurance. A new website with those offers, called trumprx.gov, is supposed to launch later this month, but the 46brooklyn data show that, in fact, all of those companies have increased at least some of their list prices so far in 2026. [...] LUPKIN: Yeah. Prices for 872 drugs have increased in the first two weeks of 2026, and there could still be more before the month is over. They included drugs that treat cancer, Type 2 diabetes, even COVID shots and antibiotics were on the list. That's according to an analysis by 46brooklyn, a drug price research firm. Here's Antonio Ciaccia, 46brooklyn's CEO. ANTONIO CIACCIA: January is prime time for list price changes on brand-name drugs. So in examining where we are today, we're pretty much in line with the last, you know, few years.

• Prescription Drug Discount Program for Medicare Recipients

  Prescription pricing can differ from pharmacy to pharmacy under this program. Most of the time this will occur because different drug manufacturers charge Medi-Cal different prices for the same drug. I just refilled my prescription, and it cost more than last time, why? Prescription drug manufacturers change their prices periodically. Price increases occur throughout the year, and for some drugs, many times during the year. Medi-Cal updates the prices it pays for drugs in its computer every month. If your prescription price does increase, you can ask your pharmacist if the manufacturer has increased the price. If I already have prescription coverage, will this program affect me? [...] Please note that obtaining prices from several pharmacies may help you find the lowest cost, but it’s best to get all your prescriptions from the same pharmacy. This way the pharmacist can record all the medications you are taking and what you are taking them for, and your pharmacist can tell you what to do if you have a bad reaction to a drug or find that a drug isn’t working. Also, the pharmacist can check your new prescription to make sure it won’t react badly with medicine you’re already taking. Proper pharmaceutical care can protect your health—or even save your life! ## Frequently Asked Questions What is the "Prescription Drug Discount Program for Medicare Recipients," and when did it begin? [...] How much will I save? Again, that will depend on the medication, as well as the quantity ordered and the drug manufacturer. The same drug may be manufactured by several companies, with each charging a different price. How do I know I'm being charged the right amount? Ask the pharmacist for a printout of the Medi-Cal information obtained through the pharmacy’s computer. Be sure to make this request when you hand your prescription to the pharmacy staff or when the doctor’s office calls in the prescription. I have called four different pharmacies and have received four different prices. Why is that?

• Selected Drugs and Negotiated Prices

  CMS announced on March 14, 2025 that agreements have been signed with drug companies manufacturing all 15 drugs covered under Medicare Part D (PDF) that were selected for the second cycle of negotiations in the Medicare Drug Price Negotiation Program (Negotiation Program). The negotiations with participating drug companies will occur in 2025, and any negotiated prices will become effective beginning in 2027. The fact sheet above contains additional information regarding the negotiation process and participating drug manufacturers. ## Selected Drug List for Initial Price Applicability Year 2026 Fact Sheet: Negotiated Prices for Initial Price Applicability Year 2026 (PDF) Infographic on Negotiated Prices (Maximum Fair Price) for Initial Price Applicability Year 2026 (PDF)") [...] Fact Sheet on Negotiated Prices for IPAY 2027 (PDF) Infographic on Negotiated Prices for IPAY 2027 (PDF) Infographic: Drug Selection Process for a Hypothetical Drug for Initial Price Applicability Year 2027 (PDF) The infographic provides information on each step of the drug selection process for initial price applicability year 2027 using a hypothetical biological product (Drug Hypothetical). Fact Sheet: Medicare Drug Price Negotiation Program: Selected Drugs for Initial Price Applicability Year 2027 (PDF) Fact Sheet: CMS Announces Manufacturer Participation in Second Cycle of Medicare Drug Price Negotiation (PDF) [...] Centers for Medicare & Medicaid Services ## CMS Newsroom ## Search CMS.gov # Selected Drugs and Negotiated Prices The file below contains the list of National Drug Codes (NDC) associated with the selected drug list, which represents the NDCs for which any negotiated maximum fair price would apply consistent with CMS guidance. For any selected drugs for which CMS and participating drug companies have agreed upon negotiated prices under the Medicare Drug Price Negotiation Program, which the statute refers to as maximum fair prices (MFPs) the file also contains the single negotiated price for a 30-day equivalent supply of each selected drug, NDC-9 per unit price, and NDC-11 per package price, as well as other important information regarding updates to the NDCs and MFPs.

• Comparing Prescription Drugs in the U.S. and Other Countries

  Related Products: Andrew W. Mulcahy, Christopher Whaley, Mahlet G. Tebeka, Daniel Schwam, Nathaniel Edenfield, and Alejandro U. Becerra-Ornelas, “International Prescription Drug Price Comparisons: Current Empirical Estimates and Comparisons with Previous Studies,” July 1, 2022. Andrew W. Mulcahy, Daniel Schwam, and Nate Edenfield, “Comparing Insulin Prices in the U.S. to Other Countries,” September 23, 2020. Files Document ASPE Cover (pdf, 219.85 KB) Document International Price Comparisons (pdf, 1.68 MB) Document Insulin Price Comparisons (pdf, 6.41 MB) Document New Drug Availability and Launch Timing (pdf, 1.62 MB) Topics Drug Pricing | International Drug Pricing | Prescription Drugs Product Type Report Location- & Geography-Based Data International Data [...] Publication Date ASPE contracted with RAND Health Care to carry out three studies analyzing data on U.S. prescription drug prices and availability in comparison to drug prices and availability in other Organisation for Economic Co-operation and Development (OECD) countries. In 2022, U.S. prices across all drugs (brands and generics) were nearly 2.78 times as high as prices in the comparison countries. U.S. prices for brand drugs were at least 3.22 times as high as prices in the comparison countries, even after adjustments for estimated U.S. rebates. Most new drugs were available first in the U.S. before being launched in other countries. The U.S. spends a higher and growing share of total drug spending on new drugs compared to other countries. Related Products:

• Pharmacy Pricing - Medicaid

  Showing 1 to 10 of 65 entries First Time National Average Drug Acquisition Cost Rates | Type | Year | Month | Date | --- --- | | | | | | | NADAC First Time Rates | 2025 | December | 2025-12-23 | | NADAC First Time Rates | 2025 | November | 2025-11-25 | | NADAC First Time Rates | 2025 | October | 2025-10-22 | | NADAC First Time Rates | 2025 | September | 2025-09-17 | | NADAC First Time Rates | 2025 | August | 2025-08-20 | | NADAC First Time Rates | 2025 | July | 2025-07-23 | | NADAC First Time Rates | 2025 | June | 2025-06-18 | | NADAC First Time Rates | 2025 | May | 2025-05-21 | | NADAC First Time Rates | 2025 | April | 2025-04-29 | | NADAC First Time Rates | 2025 | March | 2025-03-25 | Previous1234567Next Show entries Pricing Comparison for Blood Disorder Treatments [...] Showing 1 to 10 of 631 entries National Average Drug Acquisition Cost Comparison Data | Name | Year | Month | Date | --- --- | | | | | | | NADAC Comparison | 2026 | January | 2026-01-07 | | NADAC Comparison | 2025 | December | 2025-12-31 | | NADAC Comparison | 2025 | December | 2025-12-24 | | NADAC Comparison | 2025 | December | 2025-12-17 | | NADAC Comparison | 2025 | December | 2025-12-10 | | NADAC Comparison | 2025 | December | 2025-12-03 | | NADAC Comparison | 2025 | November | 2025-11-26 | | NADAC Comparison | 2025 | November | 2025-11-19 | | NADAC Comparison | 2025 | November | 2025-11-12 | | NADAC Comparison | 2025 | November | 2025-11-05 | Previous12345…64Next Show entries First Time National Average Drug Acquisition Cost Rates [...] Prescription Drugs View all in Prescription Drugs Branded Prescription Drug Fee Program Drug Utilization Review Federal Upper Limit Medicaid Drug Policy Medicaid Drug Rebate Program Pharmacy Pricing Program Releases Retail Price Survey State Drug Utilization Data State Prescription Drug Resources