The Biden administration Tuesday announced a landmark list of 10 prescription drugs that Medicare has selected for price negotiations. Once implemented, the prices on negotiated drugs are expected to decrease for up to 9 million seniors who currently pay up to $6,500 in out-of-pocket costs per year for these prescriptions.

“We can’t overstate how monumental this change is, in bringing relief to help Americans afford their medications. We know seniors on Medicare take on average four to five Rx meds each month,” Crystal McDonald of AARP NJ said.

The drugs chosen for price negotiations include Eliquis and Xarelto, both for stroke prevention; Januvia and Jardiance, both diabetes drugs; Imbruvica, a blood cancer treatment; Farxiga, for chronic kidney disease; Entresto, a heart failure drug; Enbrel, for arthritis-autoimmune conditions; Fiasp/Novolog, both insulin products; and Stelara, for Crohn’s disease.

“They chose the ones for which there’s very little, if any, competition, which are the most common, and which have the biggest price differential,” said U.S. Rep. Frank Pallone (D-6th). Pallone said that in just the past year, these 10 drugs together cost more than $50 billion, or 20%, of Medicare Part D spending.

Pharmaceutical companies continue to vigorously oppose negotiated pricing in court, calling it unconstitutional. “They are calling it negotiation, but I would say it’s kind of like negotiation with a gun to your head,” said Sara Ryan of the trade group PhRMA. “They will tell us the price they’ve determined. Manufacturers have the ability to either accept that price, get slapped with a massive fine, or pull out of Medicare and Medicaid.”

The AARP, which represents millions of seniors, is among groups that have filed legal briefs to rebut industry arguments.

Under the Inflation Reduction Act, Medicare will add new drugs to the list annually. Price negotiations for the first ten begin in October. Once set, the new prices will take effect in 2026.