This fact sheet explains what the Inflation Reduction Act of 2022 means for older adults, people with disabilities, and the health care system.
The Inflation Reduction Act (IRA) of 2022 made key changes in Medicare law and coverage to improve prescription drug affordability for older adults and people with disabilities. Since its passage, however, some stakeholders and lawmakers have targeted IRA policies for revision or repeal, especially the law’s Medicare Drug Price Negotiation Program. For example, the partisan 2025 budget reconciliation bill—HR 1—has narrowed the negotiation program by exempting more drugs from negotiation. This change is projected to lead to at least $5 billion in increased Medicare spending and resulting higher costs for beneficiaries.
