AHEAD of the contentious midterm elections, United States President Joe Biden secured a major victory for his administration by signing the Inflation Reduction Act, the long-awaited bill that, among other things, caps prescription drug costs for Medicare recipients.
“The American people won, and the special interests lost,” Biden said, referencing Big Pharma companies that lobbied hard against efforts to lower prescription drug costs for low-income Americans.
Biden added, “Every single Republican in Congress sided with the special interests in this vote. That’s the choice we face: we can protect the already-powerful, or show the courage to build the future where everybody has an even shot.”
Lower health care costs are among the more significant parts of the sweeping $430 billion spending package. For seniors, out-of-pocket prescription drug costs will be capped at $2,000 and monthly insulin costs be capped at $35 — these changes will take effect in 2025.
The law also provides more free vaccines for Medicare recipients and states that drug manufacturers will have to pay a rebate when their prices raise quicker than inflation.
According to the White House Executive Office of the President, nearly 1.5 million AAPIs were uninsured in 2019 and more than 1.3 million people of color weren’t able to access Medicaid due to their states’ refusal to expand the program. (Currently, the uninsured rate is at 8%, according to the Biden administration.)
With the Inflation Reduction Act’s lower monthly premiums that continue advancements from the Trump administration’s American Rescue Plan, the Biden administration predicts that 120,000 more AAPIs will have health coverage by next year.
The Asian and Pacific Islander American Health Forum praised the Biden administration for signing the bill, saying in a press release, “Asian American, Native Hawaiian and Pacific Islander families face significant barriers to health care that were only exacerbated by the COVID-19 pandemic.”
They added, “The Inflation Reduction Act will allow AA and NHPI families and elders to worry less about the high costs of insurance premiums and medication. For many, this means worrying less about choosing between paying for food or medicine. This law could not have come at a better time.”
The bill also funds greater efforts to combat climate change, making it more affordable to buy energy efficient appliances, lower utility bills and make it easier and more affordable for lower-income families to replace home appliances.
“This bill is the biggest step forward on climate,” Biden said, adding that his administration will “boldly take additional steps toward meeting my climate goals.” n