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Trump administration plans to end Medicare drug plan subsidy, WSJ reports
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Yahoo News - Latest News & Headlines
July 28 (Reuters) - The Trump administration plans to end a subsidy program that helped hold premiums for Medicare drug plans, the Wall Street Journal reported on Tuesday, citing government officials.
The program, expected to provide insurers with roughly $3.6 billion in subsidies this year to cushion Medicare Part D premium increases, will not be renewed beyond 2026, the report said.
Medicare Part D, which provides prescription drug coverage to millions of Medicare beneficiaries through private insurance plans, is a key component of the federal health program for seniors.
Nearly 25 million people were enrolled in standalone Medicare Part D prescription drug plans in 2026, according to data from health policy research group KFF.
The official also said the subsidies were no longer necessary, saying that other measures aimed at keeping Medicare Part D costs in check remain in place.