LLY · 10-Q · 2026Q2 · Full report

Regulatory Pricing and Access

ELI LILLY & Co · 2026-08-05 · Importance 51 · Surprise 60 · In source text

Lilly entered voluntary agreements with the U.S. government to lower Medicaid and certain other drug prices and launch new medicines with more balanced pricing across developed nations. Under the Medicare GLP-1 Bridge Program, Medicare beneficiaries receive access to discounted Lilly obesity medicines from July 1, 2026 through December 31, 2027, while individual state Medicaid programs may expand access separately. The Inflation Reduction Act requires HHS to set prices for selected Medicare Part B and Part D medicines; Jardiance was selected effective 2026, while Trulicity and Verzenio were selected effective 2028. Lilly expects additional products to be selected in future years, which could materially affect pricing strategies, product demand, market access, and consolidated results.

Key facts

• HHS selected Jardiance in August 2023 (effective 2026) and selected Trulicity and Verzenio in January 2026 (to be effective 2028) as medicines subject to government-set prices under the Inflation Reduction Act of 2022. source
• The Company stated the Inflation Reduction Act of 2022 requires HHS to effectively set prices for certain single-source drugs and biologics reimbursed under Medicare Part B and Part D beginning at nine or thirteen years after FDA approval depending on application type. source

Impact estimates