What is the role of the Inflation Reduction Act starting in 2026 regarding Medicare?

The Inflation Reduction Act, starting in 2026, plays a pivotal role in Medicare by allowing the government to negotiate directly with drug manufacturers to lower the costs of certain high-priced medications. This negotiation power is aimed at making prescriptions more affordable for Medicare beneficiaries and reducing the overall expenditure on prescription drugs within the Medicare program.

By enabling negotiations, the act addresses the rising concerns over the costs of medications, which have burdened many patients and the healthcare system as a whole. It is designed to foster competitive pricing and enhance access to essential medications for those relying on Medicare.

The other options do not accurately represent the primary objectives of the Inflation Reduction Act concerning Medicare.