Press Release

Gillibrand Announces Legislation To Cap The Cost Of Prescription Drugs 

Jul 24, 2024

 High Drug Prices Can Force New Yorkers Who Rely On Prescription Drugs To Cut Pills In Half Or Skip Doses Entirely; 

 New Legislation Would Guarantee That Life-Saving Medication Is Affordable For Working Families  

Today, U.S. Senator Kirsten Gillibrand held a virtual press conference to announce the Capping Prescription Costs Act, legislation that would cap the annual out-of-pocket cost of prescription drugs at $2,000 for individuals and $4,000 for families with private insurance. The legislation builds on transformational drug pricing reforms included in the Inflation Reduction Act of 2022, which capped the price of insulin at $35 a month and out-of-pocket drug costs at $2,000 a year for Medicare Part D beneficiaries.

No one should have to risk their health by skipping refills or rationing life-saving medication because they can’t afford the cost of their prescriptions,” said Senator Gillibrand. “Under the Biden administration, we’ve already made huge strides by passing legislation to allow Medicare to negotiate drug prices and cap the price of insulin at $35 a month for seniors. Now, I’m fighting to get prices down on all drugs for all Americans. The Capping Prescription Costs Act imposes caps on out-of-pocket prescription drug costs: a maximum of $2,000 a year for an individual and $4,000 a year for a family with private insurance. It would be life-changing for older adults and the millions of Americans with chronic conditions and disabilities.”

Senators Bob Casey (D-PA), Raphael Warnock (D-GA), Amy Klobuchar (D-MN), John Fetterman (D-PA), Richard Blumenthal (D-CT), Chris Van Hollen (D-MD), Martin Heinrich (D-NM), Tammy Baldwin (D-WI), Peter Welch (D-VT), and Mazie Hirono (D-HI) cosponsor this bill. Representative Kathy Manning (D-NC) leads companion legislation in the House. 

Throughout her time in Congress, Gillibrand has fought to lower the cost of prescription drugs. In 2022, she helped pass the Inflation Reduction Act, which capped Medicare patients’ out-of-pocket prescription drug costs at $2,000 per year; empowered Medicare to negotiate prescription drug prices; and regulated price increases by drug companies. She is an original cosponsor of the Medicare for All Act, which would provide every American with prescription drug coverage. Last year, she joined a bipartisan push to lower out-of-pocket costs for prescription drugs by limiting the use of harmful “copay accumulators,” which prevent copay assistance from counting toward a patient’s deductible or out-of-pocket maximum and make it harder for patients to afford their medications.