The Inflation Reduction Act of 2022 (IRA), which Congress passed in August 2022, includes sweeping Medicare prescription drug reforms and changes to the Part D program to protect people with Medicare from high out-of-pocket costs. This fact sheet provides a summary of the IRA’s health provisions that will bring cost savings to low-income older adults.
Here’s a list of the policies the Act will impact:
- Expands Medicare Part D “Extra Help” subsidy by raising the income limit
- Caps Medicare Part D out-of-pocket Costs and caps insulin at $35 a month
- Expands no-cost vaccine coverage for people with Medicare
- Lowers drug prices
- Extends enhanced ACA tax credits for those not eligible for Medicare