Millions of older Americans who have been priced out of popular obesity medications will now have a new option starting Wednesday, as a federal Medicare pilot program begins offering GLP-1 weight-loss drugs for just $50 per month.
The U.S. Centers for Medicare & Medicaid Services is launching an 18-month trial that, for the first time, will cover Novo Nordisk’s Wegovy and Eli Lilly’s Foundayo and Zepbound as standalone weight-loss treatments. Previously, Medicare — which also covers people with disabilities — was prohibited from covering these drugs for weight loss alone, only paying for them when prescribed alongside conditions like cardiovascular disease or severe fatty liver disease.
A U.S. official recently said eligible patients are estimated to be in the single-digit millions, though executives from Eli Lilly and Novo Nordisk have cited estimates as high as 20 million people qualifying. Health research organization KFF put the figure closer to nearly 4 million, based on 2023 data. Wall Street analysts say the program could generate billions of dollars in revenue for the pharmaceutical companies involved.
The $50-a-month price tag is a dramatic change from what patients have faced in recent years. Branded versions of these drugs can cost anywhere from $149 to $399 a month through the manufacturers directly, or even more at retail pharmacies.
For people like Katie Smith, 71, a retired teacher from Manassas, Virginia, the new program is long overdue. Her doctor had already prescribed a GLP-1 drug, but the cost at her local pharmacy was out of reach.
