Bipartisan Efforts Continue to Rein in Pharma’s Patent Abuses

April 9, 2025

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Lawmakers are renewing bipartisan efforts to rein in anti-competitive practices commonly used by drug manufacturers to delay market entry of lower-cost generic alternatives. Recent legislation introduced in the Senate aims to address patent thickets and product hopping practices. The Affordable Prescriptions for Patients Act, recently reintroduced by Sens. John Cornyn (R-TX), Richard Blumenthal (D-CT), Chuck Grassley (R-IA), and Dick Durbin (D-IL), would place a reasonable limit on the number of patents a drug manufacturer can contest, preventing patent thickets which delay availability of biosimilar drugs. A similar bill passed the Senate last summer but lost traction in the House.

The senators concurrently introduced the Drug Competition Enhancement Act to prohibit brand drug manufacturers from engaging in product hopping (moving patients from a drug that is about to lose its monopoly status to a reformulated drug that has longer patent protection), making that practice an antitrust violation. 

The Pharmaceutical Care Management Association (PCMA) and Campaign for Sustainable Rx Pricing (CSRxP) released statements in support of the legislation, applauding the senators’ efforts to prevent drug companies from gaming the patent system to keep drug prices artificially high. Some estimates, including those from the CBO, suggest these measures could save U.S. taxpayers billions if enacted.

legislation

CMS Releases Final 2026 MA Policy and Technical Rule; Declines to Finalize Coverage of GLP-1s

On April 4, the Centers for Medicare & Medicaid Services (CMS) finalized the 2026 MA Policy and Technical Changes rule. Of note, CMS is not finalizing certain provisions from the proposed rule, most importantly the proposal requiring coverage of anti-obesity medications (AOMs) in both Medicare and Medicaid. CMS said that it may address these proposals […]
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April 9, 2025

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legislation

Budget Reconciliation Process Continues with Senate Consideration of Revised House Resolution

On April 5, the Senate voted 51-48 to pass a modified version of the House-passed budget resolution with reduced deficit reduction targets for Senate committees as compared to the House. Specific to health care, the revised Senate resolution instructs the Senate Finance Committee (SFC), which has jurisdiction over Medicaid, to propose changes that will increase […]
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April 9, 2025

medicaid

legislation

2026 Final Rate Announcement for MA and Final Part D Program Instructions

On April 7, CMS released the Calendar Year (CY) 2026 MA and Part D Final Rate Announcement and the Final CY 2026 Medicare Part D Program Instructions. The Administration strongly defended its focus on fraud, waste, and abuse, while protecting beneficiaries. The final rate notice increases average payments to MA plans by 5.06% up from […]
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April 9, 2025

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