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Out-of-Pocket Insulin Costs for Seniors
The cost of buying insulin can quickly add up, but this medication is life-sustaining for individuals with type 1 diabetes. Many seniors are on a fixed income, and some may struggle to afford the out-of-pocket costs for insulin, which can lead to rationing their supply. This can be incredibly dangerous to their health.
The Centers for Medicare & Medicaid Services (CMS) recently announced that it would implement measures to help curb these costs for seniors. Many Medicare Part D prescription drug plans and Medicare Advantage plans with prescription drug coverage will now be offering lower insulin costs to seniors, capping the copay at $35 for a month’s supply. This is part of the new Part D Senior Savings Model and will cover “both pen and vial dosage forms for rapid-acting, short-acting, intermediate-acting, and long-acting insulins.”
Insulin manufacturers and Part D sponsors are working together to offer this market-based solution that enables them to provide deeper discounts to seniors and fixed, predictable copays in the coverage gap. According to CMS, “beneficiaries who use insulin and join a plan participating in the model could see an average out-of-pocket savings of $446, or 66 percent, for their insulins, funded in part by manufacturers paying an estimated additional $250 million of discounts over the five years of the model.”
Seniors will be able to go on to the CMS website and compare their prescription drug plan options to find a participating sponsor and plan that fits their needs. Enrollment would begin in the fall for coverage starting on January 1, 2021. There have also been numerous actions that have been taken in response to COVID-19 to support individuals with type 1 diabetes in accessing and affording insulin.
It is encouraging to see drug manufacturers and insurance companies making changes to improve access and affordability of life-sustaining medications such as insulin. Diabetes Research Connection (DRC) will continue to stay abreast of these trends and how they impact diabetes management. DRC provides critical funding for researchers focused on type 1 diabetes to find a cure and improve prevention and treatment options as well as the quality of life. Click to learn more about current projects and provide support.
