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Healthy Returns: Covering weight loss drugs could cost Medicare $35B through 2034

By CNBC  
   October 16, 2024

Expanding Medicare coverage of costly weight loss drugs could come at a steep cost for the federal government. Allowing Medicare to cover obesity medications would increase federal spending by about $35 billion from 2026 to 2034, according to an analysis released by the CBO. The federal costs for covering those drugs would grow from $1.6 billion in 2026 to $7.1 billion in 2034, the CBO said. The analysis is all hypothetical, and comes as drugmakers and advocacy groups push for the government to expand coverage of – and give more seniors access to – the highly popular treatments. Those include GLP-1s for obesity such as Novo Nordisk's Wegovy and Eli Lilly's Zepbound, which both carry hefty price tags of roughly $1,000 per month before insurance and other rebates. 

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