According to a recent report from the Rand Corporation, Americans pay nearly three times more for prescription medications than people in more than 30 other countries. A new executive order from President Trump aims to change that.
The order gives pharmaceutical companies a 30-day window to lower prices, and it threatens further action if they don't make substantial progress.
"Prescription prices in the US could go down by 30-90%," said Jason Dorsey, owner of Roselawn Pharmacy.
WATCH: How your prescription costs could change under the executive order
Health and Human Services Secretary Robert F. Kennedy Jr. emphasized the administration's commitment to the initiative.
"I know how determined President Trump is for us to have the lowest drug prices in the world, as between Europe and the United States. And I also know that he doesn't care how we get there. That's where he wants Americans to be," Kennedy said.
A key part of the reform would eliminate what many consider a costly middleman — pharmacy benefit managers, or PBMs.
"That's the part of the order I feel has the potential to bring the greatest amount of savings," Dorsey said.
These PBMs currently negotiate between pharmacies and insurance companies — a system Dorsey says drives up costs for everyone.
"By eliminating pharmacy benefit managers, you would free up billions of dollars nationwide to lower patients' premiums so they're paying less for their prescription coverage and afford better reimbursements for the pharmacies," Dorsey said.
But without congressional action to back it up, Dorsey believes implementing these changes will be difficult.
"Moving an entire industry that quickly in 30 days is, I think, unreasonable," he said.
He said the executive order also lacks specifics on which medications will see price reductions and by how much.
"So far what's come out of the executive order is very broad and lacking a lot of detail about how it would be implemented," Dorsey said.
While consumers shouldn't expect lower prices on their next pharmacy visit, Dorsey says he's optimistic about the long-term impact.
"It sort of sends a shot across their bow to say hey, there's big change coming," he said.
How to save money on prescriptions now
In the meantime, there are things you can do to reduce your prescription costs right now:
- Consider generic alternatives — the FDA confirms these medications contain the same active ingredients as name brands, but can cost up to 85% less
- Don't overlook prescription discount programs like GoodRx, which offers substantial savings on many common medications
- SingleCare is another valuable tool that lets you compare medication prices at nearby pharmacies, helping you find the best deal without driving across town
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