President Joe Biden delivered remarks Monday on how his Build Back Better Act will lower the costs of prescription drugs for millions of Americans.
If passed, the White House said a tax penalty would be imposed on drug companies that raise medication prices faster than inflation, cap insulin prices to $35 per month, allow the government to negotiate drug prices for Medicare, and stop Medicare recipients from having to pay too much for some prescriptions.
"They will be held accountable when they raise prices on the American people," Biden said.
"The President thinks it’s absolutely unacceptable that the American people are forced to pay the highest prices for prescription drugs in the entire world — two to three times as much as other developed countries, and this is an example of how Build Back Better will reduce many of the biggest costs families face," White House Press Secretary Jen Psaki said.
According to research from the Kaiser Family Foundation, in 2019, 1.2 million Part D enrollees spent an average of $3,216 on prescription drugs.
CNBC reported that Biden hopes to have the act signed by Christmas.