Seniors may face higher prescription premiums next year
The Trump administration intends to end a subsidy program for Medicare drug plans after 2026, a change that could increase prescription coverage costs for many seniors, according to a Trump administration official.
The official said the extra subsidies had the effect of encouraging insurers to raise rates, because the government would cover the additional expense. Ending the program removes that incentive structure.
The official noted that other policies intended to help hold down Part D costs remain in place. Seniors who shop for alternative coverage should be able to find lower premiums if they switch plans, the official said.
Healthcare affordability is expected to be a prominent issue in the midterm elections.