Indiana would offer older residents prescription help if funded

Indiana's aging division would run a prescription drug assistance program. Indiana residents 65 or older who do not receive Medicaid could apply. The program depends on available funding. Applicants would need to pay a $30 yearly fee and any deductible, and provide information about household income. The proposed law would take effect July 1, 2026, and the program would begin January 1, 2027.

Participants would pay a yearly fee, an income-based deductible, and then a copay for each prescription bought through the program. These charges would apply to people approved for the funded program. The yearly fee would be $30. The deductible would be $0 at or below 160% of the federal poverty level, $500 or $850 in the next two income ranges, and $850 plus income above the 240% level in the highest range. Copays would be $5 for drugs sold only under a generic name and $15 for other drugs. They would not apply when a participant uses other drug coverage. Each deductible would cover a 12-month period; copays would begin after it is met.

Indiana's aging division would seek rebate deals with drug makers and manage a fund for the program. The division would seek deals with drug makers that sell prescription drugs in Indiana. A drug maker that signs a deal would pay rebates on its drugs bought through the program. The fund would hold those payments and any money set aside for the program. Under a rebate deal, a drug maker would pay at least every three months.

A person convicted of fraud involving prescriptions filled or bought through the program would be guilty of a Class A misdemeanor. The rule would cover people convicted of fraud involving program prescriptions. The penalty would apply to fraud involving prescriptions filled or bought through the program. The proposed penalty would take effect July 1, 2026; the program would begin January 1, 2027.