From AARP – By Rachel Nania and Tony Pugh–
Big changes have come to Medicare’s prescription drug coverage, known as Part D, that could affect how you pay for your medications — and how much you pay in 2026.
Here’s what you need to know:
1. Lower negotiated drug prices for 10 Part D meds
The biggest change in 2026 will be the debut of new lower prices on 10 Part D drugs selected for price negotiations under a 2022 law that AARP supported.
The legislation required the secretary of the Department of Health and Human Services to negotiate with drug companies for lower Part D prices on costly brand-name drugs with no generic or biosimilar competitors.
The 10 medications selected for the first round of negotiations treat a number of illnesses, including autoimmune diseases, cancer, diabetes and heart disease. Nearly 9 million Medicare Part D enrollees who use the drugs are expected to save an estimated $1.5 billion next year in out-of-pocket costs.
The 10 drugs with negotiated lower prices for 2026:
- Eliquis for blood clot prevention and treatment
- Enbrel for rheumatoid arthritis, psoriasis and psoriatic arthritis
- Entresto for heart failure
- Farxiga for diabetes, heart failure and chronic kidney disease
- Fiasp and NovoLog, types of insulin for diabetes
- Imbruvica for blood cancers
- Januvia for diabetes
- Jardiance for diabetes, heart failure and chronic kidney disease
- Stelara for psoriasis, psoriatic arthritis, Crohn’s disease and ulcerative colitis
- Xarelto for blood clot prevention and treatment
Out-of-pocket costs for the 10 drugs in 2026 will decline by about 50 percent, on average, compared with 2025 for original Medicare beneficiaries enrolled in certain stand-alone prescription drug plans that the AARP Public Policy Institute reviewed.
“Equally important, Medicare-negotiated drug prices will help lower Part D enrollee costs and provide millions of older Americans with much-needed financial relief,” the report says.
The new lower prices must be made available to all eligible beneficiaries. All Medicare Advantage plans with drug coverage and stand-alone Part D drug plans for beneficiaries in original Medicare must list them as part of their formularies.
The AARP research, released Dec. 18, found that average out-of-pocket costs for the 56 plans in the study would be less than $100 a month on seven of the 10 Medicare-negotiated drugs, compared to only two of the 10 drugs in 2025.
The analysis suggests that the Medicare drug price negotiation is working as expected.
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