Castor & Sewell Launch Affordable Seniors Act
TL/DR –
US Representatives Kathy Castor and Terri Sewell have introduced the Affordable Premiums for Seniors Act to prevent the Trump Administration from ending the Medicare Part D Premium Stabilization Demonstration. The act would maintain lower monthly premiums for seniors enrolled in standalone Medicare prescription drug plans, countering the administration’s announcement to terminate the program at the end of 2026. Under the proposed act, the Centers for Medicare & Medicaid Services (CMS) would have to continue the Part D Premium Stabilization Demonstration through 2029, continue the demo in subsequent years if it would result in higher premiums for beneficiaries, and issue guidance for 2027 within 30 days of enactment for certainty ahead of the upcoming plan year.
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In the capital city of the United States, U.S. Representatives Kathy Castor of Florida’s 14th district and Terri Sewell of Alabama’s 7th district have introduced new legislation this week aiming to prevent an early termination of the Medicare Part D Premium Stabilization Demonstration by the Trump Administration. The move comes in reaction to the administration’s declaration that the Centers for Medicare & Medicaid Services (CMS) plans to end the program by 2026. The proposed law, known as the Affordable Premiums for Seniors Act, aims to maintain affordable monthly premiums for seniors who are subscribed to standalone Medicare prescription drug plans.
“The added financial burden of rising prescription drug costs is far from what our older constituents need. The Affordable Premiums for Seniors Act will work to reverse the recent Department of Health and Human Services (HHS) strategy to increase Medicare prescription drug costs for seniors and those with disabilities,” explained Rep. Castor. “This legislation aims to challenge the HHS plan, uphold lower premiums, and provide better predictability for health care expenses. I am committed to ensuring that the hard-earned Medicare benefits of our seniors remain accessible and reliable.”
Rep. Sewell echoed these thoughts, stating, “For seniors living on limited resources, each dollar is crucial. Despite seniors already grappling with rising costs in multiple areas like food, housing, health care, and day-to-day provisions, the Trump Administration should focus on cost reduction rather than terminating a program which aids seniors in affording their prescription drugs.” Rep. Sewell stated. “The abolition of the Part D Premium Stabilization Program could mean increased premiums and increased financial stress for millions of senior citizens. The Affordable Premiums for Seniors Act is designed to provide the stability and assurance that Medicare beneficiaries deserve.”
The CMS established the demonstration in 2025, following changes to the Medicare Part D under the Inflation Reduction Act (IRA) with the goal of stabilising premiums for beneficiaries using standalone prescription drug plans. The IRA brought about several alterations to the Medicare prescription drug coverage, one of which was setting a $2,000 annual limit on out-of-pocket prescription drug costs starting in 2025. The Premium Stabilization Demonstration was established to help offset premium increases and enhance stability during this period of transition as the redesigned benefit shifted more prescription drug costs to the Part D plans.
As per the data by the Medicare Payment Advisory Commission (MedPAC), the demonstration saved seniors an average of $312 in 2026. If the demonstration comes to an end, beneficiaries could face higher premiums starting from 2027.
The Affordable Premiums for Seniors Act, if passed, would mandate the CMS to:
- Extend the Part D Premium Stabilization Demonstration until the end of 2029;
- Maintain the demonstration in the following years if its termination would lead to increased premiums for Medicare beneficiaries; and
- Release guidelines for the year 2027 within 30 days of the act’s passage to give both seniors and Part D plans more certainty ahead of the following plan year.
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