Medicare negotiated drug prices for 2027 start on January 1, 2027, for 15 common drugs, including Ozempic, Wegovy, Trelegy, Xtandi, and Ibrance. The new prices are 38% to 85% lower than each drug’s 2024 list price. Medicare says people in Part D plans should save about $685 million out of pocket in 2027. But the new price is not always the same as what you pay at the counter. Here is the full list, how the savings reach you, and what to check before Open Enrollment ends.
What Is Medicare Drug Price Negotiation?
For a long time, Medicare was not allowed to bargain with drug makers over prices. A 2022 law changed that. Now Medicare picks some of its most costly drugs each year and talks with the companies that make them. The two sides agree on a lower price, called a “negotiated price,” that Part D plans and pharmacies use.
The first 10 negotiated prices started on January 1, 2026. That list included drugs like Eliquis, Jardiance, Xarelto, and some insulins. The 15 drugs in this post are the second round. Medicare announced their new prices in November 2025. Medicare says these prices would have saved about $12 billion, or 44%, if they had been in place in 2024.
The 15 Drugs With Lower Medicare Prices in 2027
These are the 15 drugs, what they are used for, and how much lower the new price is than the 2024 list price for a 30-day supply. Some drugs are grouped because they share the same main ingredient. The names below are the brand names Medicare uses for each drug.
- Janumet and Janumet XR (type 2 diabetes): 85% lower
- Tradjenta (type 2 diabetes): 84% lower
- Breo Ellipta (asthma and COPD): 83% lower
- Linzess (constipation and IBS-C): 75% lower
- Trelegy Ellipta (asthma and COPD): 73% lower
- Ozempic, Rybelsus, and Wegovy (type 2 diabetes, heart risk, and weight): 71% lower
- Otezla (psoriasis, psoriatic arthritis, and Behçet’s mouth sores): 65% lower
- Xifaxan (a liver problem called hepatic encephalopathy, and IBS-D): 63% lower
- Pomalyst (multiple myeloma and Kaposi sarcoma): 60% lower
- Ibrance (breast cancer): 50% lower
- Ofev (lung scarring called idiopathic pulmonary fibrosis): 50% lower
- Xtandi (prostate cancer): 48% lower
- Vraylar (bipolar disorder, depression, and schizophrenia): 44% lower
- Calquence (blood cancers like CLL): 40% lower
- Austedo and Austedo XR (movement disorders like tardive dyskinesia): 38% lower
Here is one example in dollars. The list price for a month of Ozempic, Rybelsus, or Wegovy was $959 in 2024. The new Medicare price is $274. Trelegy Ellipta drops from $654 to $175 for a month’s supply.
Will You Pay Less at the Pharmacy?
Many people will pay less, but not everyone will see the same savings. The negotiated price is what your plan and pharmacy use for the drug. What you pay depends on how your plan charges you. The honest answer is that it depends on your plan and on where you are in the year.
- If you pay coinsurance (a percent of the price), your cost should drop, because the price it is based on is lower.
- If you are in your deductible, you pay the drug’s price until you meet it, so a lower price helps right away.
- If you pay a flat copay, such as $47 a month, your copay may not change. Your plan sets copays, not Medicare.
- If you already hit the yearly cap, you pay $0 for covered drugs for the rest of the year anyway.
The yearly cap on Part D costs is $2,400 in 2027, up from $2,100 in 2026. Lower drug prices can mean you reach that cap later in the year, or not at all. For people who pay a percent of the price, that can mean real savings. For people who hit the cap every year, the bigger change may be the higher cap, not the lower price.
One more thing to know is that your plan still decides if a drug is on its list. A negotiated drug must be covered by Part D plans, but your plan can still set its tier and its rules. Check your plan’s 2027 drug list to see how each of your drugs is covered.
What About Ozempic and Wegovy for Weight Loss?
The new price for Ozempic, Rybelsus, and Wegovy is one of the biggest pieces of this list. But a lower price does not change what Part D can cover. By law, Part D plans still cannot cover drugs used only for weight loss. Wegovy can be covered for other uses, such as lowering the risk of heart attack and stroke in people with heart disease.
Some people may get weight loss drugs through a separate Medicare program instead. The Medicare GLP-1 Bridge started in July 2026 and is set to run through the end of 2027. People who meet certain weight and health rules can get drugs like Wegovy and Zepbound for a $50 monthly copay. Those copays do not count toward your $2,400 Part D cap. You can read more in our post on Medicare and weight loss drugs.
More Drugs Are Coming in 2028
The program keeps growing. In January 2026, Medicare picked 15 more drugs for the third round of talks. This round includes, for the first time, some drugs your doctor gives you in the office, which fall under Part B. Their new prices are set to start in 2028.
This matters if you are choosing a plan for the long run. Drug prices and plan rules will keep changing each year. That is why it pays to review your coverage every fall, not just the year you join Medicare. Our post on why drug costs keep climbing has more ways to save.
What to Do Before December 7
If you take one of these 15 drugs, Open Enrollment is a good time to look at your plan. It runs from October 15 to December 7, 2026. Plans can change their drug lists, tiers, and copays each year. A different plan may charge you less for the same drug in 2027.
- Make a list of each drug you take, with the dose.
- Look up each drug on your plan’s 2027 drug list, and note its tier and copay.
- Use Medicare’s Plan Finder to compare total yearly costs across plans.
- Ask a licensed agent to check your drugs against the plans in your area.
At We Can Help You, we often hear from people who are surprised their copay did not drop when a drug’s price did. Knowing how your plan charges you makes the difference. A local agent can show you which plans give you the most benefit from the new prices. You can start with our complete guide to Medicare drug plans.
Conclusion
On January 1, 2027, Medicare negotiated drug prices start for 15 drugs, with prices 38% to 85% below 2024 list prices. Many people who take these drugs will pay less, especially those who pay coinsurance or are in their deductible. Your actual savings depend on your plan, so check your 2027 drug list and compare plans before December 7. We Can Help You is a nonprofit, and our goal is to help you make sense of Medicare with no cost and no pressure. Find a licensed Medicare agent near you to see how these new prices fit your plan, or join one of our free Medicare webinars.
