CMS list of 15 drugs selected for third cycle of drug negotiation program
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CMS list of 15 drugs selected for third cycle of drug negotiation program For the first time Part B drugs are being negotiated, with prices effective in 2028. Medicare & Medicaid By Susan Morse , Executive Editor | January 28, 2026 | 10:37 AM Photo: dszc/Getty Images The Centers for Medicare & Medicaid Services has announced the selection of 15 prescription drugs for the third cycle of the Medicare Drug Price Negotiation Program. These are high-cost drugs covered under Medicare Part D and, for the first time, drugs payable under Medicare Part B.CMS also selected one previously negotiated drug for the program’s first renegotiations, Tradjenta for type 2 diabetes. Negotiations with participating drug companies will occur in 2026, and prices will become effective Jan. 1, 2028. The drugs slected for the third cycle are:Anoro ElliptaBiktarvyBotox; Botox CosmeticCimziaCosentyxEntyvioErleadaKisqaliLenvimaOrenciaRexultiTrulicityVerzenioXeljanz; Xeljanz XRXolairThese drugs treat a variety of conditions, including cancer, psoriatic arthritis and human immunodeficiency virus type 1 infection. Drug companies with a selected drug for the third cycle of negotiations will have until Feb. 28 to decide if they will participate in negotiations. WHY THIS MATTERSBetween November 2024 and October 2025, approximately 1.8 million people with Medicare Part D or Medicare Part B coverage used the 15 drugs selected, CMS said.These drugs represent the top 15 highest-spending drugs on a list of the 50 top negotiation-eligible drugs based on combined expenditures under Medicare Parts B and D. In the second cycle of negotiations, Medicare reached agreement with participating manufacturers on all 15 selected drugs. Those prices will take effect Jan. 1, 2027.These drugs accounted for approximately $27 billion in total prescription drug spending under Medicare Part B and Part D, representing about 6% of total Part B and Part D spending. If these new prices had been in effect in 2024, they would have saved an estimated $8.5 billion in net covered prescription drug costs, or approximately 36% lower net spending, CMS said.The first cycle of 10 drugs covered under the program went into effect on Jan. 1. THE LARGER TRENDIn negotiations, CMS said it would consider the selected drug’s clinical benefit, evidence about alternative treatments, the extent to which it addresses unmet medical needs and its impact on specific populations, including people who rely on Medicare. CMS also considers costs associated with research and development as well as current costs of production and distribution for selected drugs. ON THE RECORD“For too long, seniors and taxpayers have paid the price for skyrocketing prescription drug costs,” said CMS Administrator Dr. Mehmet Oz. “Under President Trump’s leadership, CMS is taking strong action to target the most expensive drugs in Medicare, negotiate fair prices, and make sure the system works for patients—not special interests. This approach delivers real savings while strengthening accountability across the program.” Email the writer: [email protected] Topic: Accounting & Financial Management, Medicare & Medicaid, Pharmacy