The second cycle of the Medicare Drug Price Negotiation Program will offer pharma companies more time and chances to submit counteroffers during the price talks, which will take place throughout 2025.
In August, the federal government announced the lower negotiated prices for 10 medications, which include therapies for Type 2 diabetes, blood clots and heart failure. The new prices — which are estimated to reduce healthcare costs by $7.5 billion — will go into effect Jan. 1, 2026.
For the next phase, CMS will select up to 15 medications to undergo negotiations for lower list prices to take effect Jan. 1, 2027. Multiple cancer therapies are predicted to be chosen, and CMS will announce the selected drugs by February.
In contrast to the first round of negotiations, CMS will hold up to 15 patient-focused roundtables and one town hall that weighs the clinical considerations, according to a 313-page final guidance published Oct. 2.