In the face of a rising obesity rate affecting 40% of the U.S. population, recent advancements in medication offer a new avenue for weight management. GLP-1 drugs, initially prescribed for diabetes, have gained FDA approval for weight loss, with Novo Nordisk’s Wegovy and Eli Lilly’s Zepbound leading the charge. However, their high cost, approximately $1,000 per month per patient, raises questions about coverage, especially since nearly 60% of Americans rely on employer-provided health insurance.
A survey by Accolade revealed that 81% of HR decision-makers believe their employees are interested in GLP-1s for weight loss, with 43% planning to cover these medications in 2024, an increase from 25% in 2023. The move towards covering GLP-1s comes with a focus on integrating these drugs with lifestyle changes to ensure effectiveness, as they are not considered standalone solutions for weight loss.
Labcorp, a healthcare company, has been covering GLP-1s for diabetes under its pharmacy benefits for almost a decade and, following FDA approval for weight loss, extended coverage to include this new use. Recognizing the need for comprehensive support, LabCorp partnered with WeightWatchers for Business to provide virtual care and medication management for employees prescribed GLP-1s. This partnership aims to enhance the success of weight loss efforts by combining medication with behavioural and lifestyle interventions recommended by the FDA.
WeightWatchers’ GLP-1 program offers nutritional guidance and exercise activities, emphasizing the importance of a holistic approach to weight management. Similarly, Omada Health has developed a program focused on lifestyle changes and community support for those taking GLP-1s, recently adding musculoskeletal exercise programming to aid in sustaining weight loss and preventing muscle loss after discontinuation of the medication.
Employers are encouraged to consider GLP-1 coverage as part of a broader health management strategy that includes treatment for related conditions such as diabetes and hypertension. Omada Health and LabCorp highlight the role of pharmacy benefit managers in designing benefits that achieve optimal health outcomes while managing costs. Labcorp, in particular, is closely monitoring the utilization and adherence to GLP-1s and the accompanying WeightWatchers program, mindful of the financial implications of investing in these medications over other employee benefits.
This proactive approach to addressing obesity through medical and lifestyle support reflects a growing recognition of the need for comprehensive health management solutions in the workplace, balancing the costs and benefits to support employee well-being effectively.
