Calling all seniors! Did you know that Congress is considering a health care policy that would utilize binding arbitration to set prescription drug prices? This practice, which some policymakers incorrectly assume will be more effective than free market negotiations, could authorize third party arbitrators to set legally binding prices using standards set by the government.
This harmful proposal could affect Medicare Part D beneficiaries by fundamentally altering the competitive structure of the Part D program that allows for increased choice and lower costs for seniors. In fact, binding arbitration could even reduce incentives for cost-saving features like rebates, which helped seniors save up to 70 percent on some medicines.
Binding arbitration is a dangerous proposal that would likely undervalue individualized care for seniors. Inserting government bureaucrats in the middle of the doctor-patient relationship not only allows biased, controversial third parties to dictate the price of care for vulnerable patients but it could also disrupt already effective treatment plans. Further, these government middlemen could also reduce incentives needed for progress in drug innovation and stifle progress in the pharmaceutical space.
It is critical that we call on Members of Congress to abandon this harmful proposal for the sake of seniors nationwide. Threatening access for life-saving medications, disruptions in the doctor-patient relationship, and a decreased focus on medical innovation is simply wrong.
Join us TODAY in telling your Member of Congress to reject this dangerous proposal for the health and wellbeing of seniors and people with disabilities nationwide. You can help send this message by signing on to this letter here!