May 26 (UPI) -- President Donald Trump and the Centers for Medicare and Medicaid Services on Tuesday unveiled a plan that will cap costs on insulin for Medicare patients.
The plan will cap the cost of insulin copays for more than 1,750 standalone Medicare Part D prescription drug plans and Medicare Advantage plans for seniors at $35 for a month's supply for the 2021 plan year.
"For hundreds and thousands of seniors enrolled in Medicare, participating plans will cap costs at just $35 a month per type of insulin and some plans may offer it free," Trump said.
The Part D Senior Savings Model was announced in March to serve as a voluntary model that tests the impact on insulin access and care, with participating members paying lower out-of-pocket costs for insulin.
Trump and CMS stated that seniors could see average out-of-pocket savings of $446, or 66 percent, for their insulin under the plan.
"This market-based solution, in which insulin manufacturers and Part D sponsors compete to provide lower costs and higher quality for patients, will allow seniors to choose a Part D plan that covers their insulin at an average 66 percent lower out-of-pocket costs throughout the year," CMS Administrator Seema Verma said.
Part D Senior Savings plans will be available to beneficiaries in the 2021 plan year on Medicare.gov during the annual Affordable Care Act open enrollment period.