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Some US employers to drop GLP-1 coverage by 2027


(NewsNation) — Some U.S. employers say they plan to stop covering GLP-1 drugs for weight loss next year, according to a recent report.

The report from the Business Group on Health surveyed businesses and found that about 10% of employers that currently cover the drugs say they will not continue that coverage by 2027.

“Our findings show the tremendous concern employers have regarding these medications from a cost and financial viability perspective,” Ellen Kelsay, president and CEO of Business Group on Health, said. “Against the backdrop of anticipated double-digit health care cost increases — fueled in large part by GLP-1s and overall prescription drug costs — companies cannot ignore the reality that GLP-1s have significant implications for health care budgets and overall affordability.”

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One company has already made its decision to drop coverage of weight-loss drugs. According to Reuters, health insurer Cigna is ending coverage of the treatments starting in July and told its employees they could buy them elsewhere.

Weight-loss drugs have become available through some drugmakers’ websites at discounted prices, as well as through a deal with the Trump administration for its TrumpRx site.

Industry experts said demand for the drugs has increased this year due to oral options, attracting people who have never tried GLP-1s and keeping employer costs high.

The Business Group on Health survey also found that about 72% of companies will likely continue to cover weight-loss treatments in 2027.

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