In past few years, cost of medicines used to treat cancer and other chronic illnesses has increased significantly. The massive increase in cost has been proving a big burden on some very ill American patients, who have to choose between paying medical bills or house rent.

Seeing the situation, the California agency governing the state's Obamacare plans has decided to make things little better for people. On Thursday, it has issued a landmark ruling that it will levy a limit on the amount anyone enrolled in any of these plans can be charged every month for costly medicines.

The rule will become effective in 2016. As per the agency, the rule, "strike a balance between ensuring Covered California consumers can afford the medication they need to treat chronic and life-threatening conditions while keeping premiums affordable for all".

Health advocates affirmed that they keep on hearing heart-moving incidents on regular basis. Betsy Imholz, special projects director at Consumers Union, an advocacy group, said they have heard stories in which people were left with no retirement savings to have the drugs they needed.

Then, the organization took the concerns to Covered California, which implements the Affordable Care Act in the state. In front of the agency, the health advocates argued that there should be a limit on the amount consumers need to pay for the drugs.

The agency agreed with the concern and in voting, the measure was approved to cap the monthly out-of-pocket costs for specialty drugs. From 2016, majority of people will only have to pay $150 or $250 per prescription per month. Bronze plans will have capping of $500.

It shall, however, be noted that the policy is only applicable for 2.2 million people who buy coverage on the individual market. Other states have also been thinking to levy similar caps.