LAS VEGAS (KTNV) — Nevada's Democratic Rep. Steven Horsford has made lowering prescription drug costs a key pillar of his election promises, and on Tuesday the congressman plans to introduce two bills in an attempt to help people pay less at the pharmacy.
The first bill, called the SPIKE Act, is designed to discourage quick price hikes by forcing any company that "spikes" the cost of a drug to justify the raise to the Secretary of the Department of Health and Human Services.
Any drug raised by 10% or $10,000 in one year, 25% or $25,000 in three years, or has a launch price higher than $26,000 would be subject to this provision.
The second bill, the Capping Drug Costs for Seniors Act of 2021, has three main components.
First, the bill would cap out-of-pocket drug costs for people on Medicare Part D at $2,000 potentially saving roughly 46 million people an average of $4,000 a year.
Second, it would require health plans to pay more in catastrophic coverage, the fourth tier of Part D coverage, and reduce government reinsurance subsidies.
Finally, the bill would force manufacturers to pay more in both catastrophic and initial coverage tiers.
The latter two provisions are designed to put pressure on manufacturers and insurers to better manage drug costs.
13 Action News will speak with Rep. Horsford Tuesday after he introduces the bills in Congress about how the bills will work in action, and how he plans to get them passed in a split House and Senate.