HHS to make decision on Medicare Part B Premiums after decision on new Alzheimer's Drug

[GailL1]

The decision is set for April 11 - 

STATNews 03/17/2021 Medicare premiums could decrease ‘soon,’ after decision on Alzheimer’s drug Aduh...

From the link:

WASHINGTON — Whether seniors get an unprecedented mid-year discount on Medicare premiums will hinge on a forthcoming decision about how the program will cover a pricey, controversial new Alzheimer’s drug that is expected by mid-April.

Health and Human Services Secretary Xavier Becerra said two months ago he wanted to explore lowering the premiums, which saw their largest-ever hike this year in case Medicare spending skyrocketed due to the approval of Aduhelm, which initially cost more than $56,000 for one patient, for one year.

But since the premium hike was announced, Biogen slashed the price of the drug in half, and Medicare also proposed dramatically restricting how many patients could get the drug. Uptake has also been surprisingly slow.

. . . . Becerra could lower the premiums now, experts said, but he confirmed on Thursday that he will wait at least until Medicare’s coverage decision is final. It is due April 11

“Once we have that determination, we’ll be able to fully assess what impact Aduhelm may have had on premiums for seniors in Medicare,” Becerra told reporters, adding that seniors would know more “soon.” “We’re gonna make sure that seniors don’t pay more than they have to.”

more at the link ~

Maybe somewhat of a reprieve on the Part B premium of $ 170.10 - but don't expect it to be too much - how much is too much - don't know since I can't find any source on how much of the increase was due to this allocation.

Personally, if the drug is proven to work ( jury still out ) I would have no problem with paying for it and subsequent test and imaging. It is a horrible disease.

So STAY TUNED

[Tonster521]

@GailL1 I am providing a link to a KFF article that suggests (the third paragraph) about half of the 2022 premium increase is related to the Alzheimer drug. So, as I slice the increase into components, the $22 increase consisted of a $4 carryover from 2021; $9.00 due to annual medical utilization/inflation; and $9.00 to a projected increase due to the Alzheimer drug. Because Biogen initially was going to charge $56,000 and now reduced the charge approx. 50% to $28,000, in theory, that should reduce the $9.00 component to $4.50.  So, my guess is $4.00 +$9.00 + $4.50 or $17.50 rather than the $22.00 increase from 2021 ($148). If approved, the revised medicare Part B contribution should be $165 or $166 rather than $170. https://www.kff.org/policy-watch/medicares-coverage-decision-for-the-new-alzheimers-drug-and-why-it-.... I hope I copied and pasted the article correctly.

Thanks for following up on this important issue.

[GailL1]

Thank You - I agree with your figures.