DOSE OF REALITY: NEW REPORT PROJECTS MORE THAN 50 PERCENT DROP IN OUT-OF-POCKET COSTS FOR TOP MEDICARE DRUGS IN 2026

AARP Analysis Highlights Substantial Cost Savings for Nearly Nine Million Medicare Part D Enrollees

A new analysis released by AARP finds out-of-pocket expenses for 10 high-cost prescription drugs are projected to fall by an average of more than 50 percent for Medicare Part D enrollees when lower prices take effect on January 1, 2026. The analysis, conducted in December 2025, “examined enrollee cost-sharing and other coverage characteristics among stand-alone Part D plans that were available in five states with high Medicare enrollment.”

The analysis found that substantial reductions in enrollee cost-sharing will lead to lower monthly out-of-pocket costs for patients, including expected reductions of more than 50 percent on seven of the 10 drugs analyzed. The report notes that this “will greatly reduce enrollees’ out-of-pocket costs in 2026, likely due to the prevalence of cost-sharing that is directly linked to drug prices.”

Average Monthly Enrollee Costs For Top Medicare Drugs: 2025 vs. 2026

AARP’s analysis also found that seven of the 10 drugs are set to cost less than $100 per month – up from only two drugs in 2025 – once new policies to lower drug prices take effect. While three drugs – Amgen’s rheumatoid arthritis drug Enbrel, Johnson & Johnson and AbbVie’s cancer drug Imbruvica and Johnson & Johnson’s psoriasis drug Stelara – will still have comparatively higher price tags, Medicare Part D beneficiaries will benefit from a new out-of-pocket spending cap of $2,100 in 2026. Additionally, all stand-alone Part D plans included in the study will cover each drug in 2026, representing an increase from current coverage levels.

As highlighted in the analysis, the Centers for Medicare and Medicaid Services (CMS) noted these policies “could save enrollees a collective $1.5 billion in out-of-pocket expenses in 2026.”

While these findings represent positive progress toward lowering prescription drug prices for Americans struggling to afford their medications, lawmakers must continue to work in a bipartisan fashion to advance market-based solutions that hold Big Pharma accountable.

Read the full Report from AARP HERE.

Read more about Big Pharma’s egregious pricing practices and direct-to-consumer advertising on these 10 drugs HERE.

Read more on bipartisan, market-based solutions to hold Big Pharma accountable HERE.