Navigating the Impact of Ozempic and Upcoming Weight Loss Drugs on Medical Plans (Webinar Recap)

Ozempic, a medication that is intended to help those with diabetes, is now also being prescribed for weight loss. This drug has had a significant impact in the US and is paving the way for new developments in the weight loss drug industry.

With several new, similar drugs expected to enter the market in 2024, it is crucial for self-funded and fully insured groups to understand the potential impact on their medical benefits plans.

Tracy Johnson, Director of Pharmacy Benefits at The Miller Group, recently presented an insightful discussion on Ozempic, future weight loss medications, the advantages and disadvantages of covering weight loss drugs, as well as alternative options to provide employees.

Should you provide coverage for weight loss drugs?

One of the topics Tracy discussed is the importance of weighing the pros and cons on whether to provide coverage for weight loss drugs. She highlights the following:

Pros:

• Weight loss drugs can help reduce the risk of major health complications associated with obesity such as hypertension, heart disease and diabetes.
• These medications may also result in cost savings from reduced doctor and hospital visits.

Cons:

• The efficacy of these drugs is uncertain – many times, patients who start taking weight loss medication eventually stop using them and gain the weight back.

• The high cost of weight loss drugs can act as a deterrent. Some FDA-approved medications cost around $1,300 for a month’s supply.
• Once the drugs are covered by your plan, the door is open to cover newly approved drugs as they become available.

Key takeaways

At the end of her discussion, Tracy provided key takeaways for attendees.

1. Weight loss drugs are an option for self-funded and fully-insured groups looking to reduce costs associated with obesity; however, it is important that organizations consider the pros and cons of providing coverage.
2. If your company chooses not to cover weight-loss drugs, you can explore alternative options for employees, such as wellness programs, nutrition counseling and telehealth services.
3. Pharmacy benefits are constantly changing. It’s important to stay up-to-date on new developments in order to make informed decisions for your organization.

Ozempic and upcoming weight loss medications will have a significant impact on the healthcare landscape. Organizations must consider all available options to ensure they make the best decision for their plan members and their bottom line.

Watch the full discussion to gain insights on the impact of weight loss drugs on group medical plans.

Additional Resources

The rising costs of prescriptions can be a burden to companies, but with the right knowledge, employers can learn to manage drug costs.

Arm yourself with the knowledge you need to make strong decisions. Request a free copy of our comprehensive Pharmacy Benefits Guide.