Medicare Cut the Price of 10 Common Drugs by up to 79% (Did Yours Make the List?)

Medicare is one of the top ways seniors save money in retirement, but while it might be cheaper than traditional health insurance, it isn't free. Along with paying premiums for Medicare Part B and D, you pay out of pocket for prescription medications, and if you're like one in every five Americans over 50, those medications could cost you up to $1,000 a year, according to AARP. 

Fortunately for retirees, a 2022 law aimed at lowering prescription drug costs took effect at the start of this year. For the first time in Medicare's 60-year history, the program is now able to directly negotiate drug prices, and as of January 1, 2026, those negotiated prices are now in effect for 10 common Part D drugs.

Keep reading to find out if one of your medications is on this discount list and, if so, how much you could save.

Eliquis

Discount: 56%

Eliquis helps prevent and treat blood clots, which are relatively common among seniors. In 2023, 3,928,000 seniors used this exact medication, but the list price for a 30-day supply was $521. The new 56% discount, which is applied automatically, as are the other discounts on this list, lowers that cost to $231.

Jardiance

Discount: 66%

Jardiance is the brand name for a medication that reduces patients' blood sugar levels. It's used to treat a variety of issues, including chronic kidney disease, heart failure, and type 2 diabetes. Approximately 1,883,000 Medicare Part D enrollees take this medication, which previously cost just under $600 for 30 days. The new negotiated price lowers that to $197 per month.

Xarelto

Discount: 62%

Like Eliquis, Xarelto helps treat and prevent blood clots. It could also lower health risks related to coronary or peripheral artery disease, two diseases that could make you more likely to have a heart attack, heart failure, or a stroke. The 62% cut lowers the $517 price to $197, but bear in mind that the actual amount of money you save depends on your copay requirements, deductible, and Medicare Part D plan.

Januvia

Discount: 79%

Januvia treats type two diabetes. At 79%, this drug gets the steepest price reduction of any other medication on this list, bringing a 30-day supply down to $113 for the 843,000 beneficiaries who were prescribed Januvia in 2023. (And if you aren't currently being treated for type two diabetes, it's important to stay on top of your health: the CDC calculates that 31.3 million adults at least age 65 have prediabetes, which is 52.1% of the age demographic.)

Farxiga

Discount: 68%

Diabetes is a major cause of chronic kidney disease: one in every three people who have diabetes are likely to also develop kidney disease. These individuals are among the 994,000 Medicare Part D beneficiaries who were prescribed Farxiga in 2023 to treat a range of conditions, including heart failure, chronic kidney disease, and diabetes. The drug's new negotiated price is $178.50 for 30 days (in 2026 dollars).

Entresto

Discount: 53%

Entresto is one of many drugs prescribed to treat heart failure. This chronic condition doesn't actually mean your heart has fully stopped working. Instead, it means your heart is too weak to pump blood as effectively as it could. Thanks to Medicare Part D price negotiations, the drug's prices dropped from $628 to $295 a month.

Enbrel

Discount: 67%

Rheumatoid arthritis is an autoimmune disorder that inflames your joints and could cause widespread damage to major organs like the heart and lungs. The condition isn't as prevalent among Medicare Part D beneficiaries as chronic kidney disease or type two diabetes, but 48,000 people were prescribed Enbrel to help manage the condition in 2023. It's one of the pricier drugs on the list, costing $7,106 for 30 days before the discount took effect and lowered the cost to $2,355, still high, but much more manageable than $7,100.

Imbruvica

Discount: 38%

Imbruvica helps treat certain types of blood cancers, slowing the progression of cancers like chronic lymphocytic leukemia and lymphocytic lymphoma. While the drug doesn't take the place of chemotherapy, it could be used to keep cancer cells from continuing to multiply, so keeping it at a lower price is essential for the 17,000 patients who were taking it in 2023. At $9,319, Imbruvica is still incredibly expensive, but the 38% discount lowered it by more than $5,000.

Stelara

Discount: 66%

Like rheumatoid arthritis, psoriatic arthritis is an autoimmune disease that causes joint inflammation. Crohn's disease is also an inflammatory autoimmune condition, though it impacts your digestive tract rather than your joints, as does ulcerative colitis. Stelara could treat all three of these conditions, and the 66% cost reduction means the drug costs $4,695, a drastic improvement over $13,836.

NovoLog/Fiasp

Discount: 76%

Insulin injections are necessary for the millions of people who have type one or type two diabetes. NovoLog and Fiasp are two insulin injection brands used by 785,000 beneficiaries, and they're much more affordable now at $119 for 30 days compared to the previous cost of $495 for 30 days.

Bottom line

If your prescription medications aren't on this list, don't worry: these 10 drugs are just the start. The Centers for Medicare and Medicaid Services (CMS) has already negotiated lower prices for 15 additional drugs. Beneficiaries pay $41 billion for those 15 medications, a cost that is going to be hugely reduced when the new prices take effect in 2027, making it even easier for you to meet your retirement goals.

Plus, CMS is negotiating prices for 15 additional drugs year over year. By 2029, Medicare beneficiaries are likely going to pay less for at least 60 prescription medications. The next round of negotiations starts in 2027, so stay tuned to see how your Medicare Part D savings could continue to stack up as you get further into retirement.