Medicare Imposes Savings on 54 Drugs Exceeding Inflation Rate (1)

Drugmakers Johnson & Johnson, Bristol Myers Squibb Co., and Amgen could be forced to pay rebates to Medicare if they raise the price of their drugs to treat cancer, osteoporosis, and more faster than inflation beginning in October.

The US Department of Health and Human Services on Monday announced that some Medicare enrollees will pay a lower coinsurance rate for 54 drugs administered in doctor’s offices and hospitals between Oct. 1 and Dec. 31.

The announcement is the latest effort in the government’s Medicare Prescription Drug Inflation Rebate Program, which requires drug companies to pay rebates to the ...