A box of the diabetes drug Ozempic rests on a pharmacy counter in Los Angeles, April 17, 2023.
Mario Tama | Getty Images
Blockbuster weight-loss drugs are priced significantly higher in the U.S. than in other large, high-income countries, based on a recent evaluation released Thursday.
The report from KFF, a health policy organization, comes as many U.S. health insurers balk at the intense cost of weight-loss drugs and drop the medications from their plans.
At roughly $1,000 per 30 days on average for medications which are typically taken over an extended time frame, the drugs are straining insurers’ budgets. But lots of the 100 million American adults who’re obese cannot afford to pay out of pocket for the treatments, called GLP-1 agonists.
KFF compared list prices — the value a drugmaker sets before insurance or any discounts — available through website searches.
Some countries negotiate directly with drugmakers resembling Novo Nordisk to set lower list prices for medications, based on Krutika Amin, associate director of the Peterson-KFF Health System Tracker. Meanwhile, other countries resembling the U.S. don’t, contributing to vastly different list prices.
A 30-day supply of Novo Nordisk‘s diabetes drug Ozempic, which is used off-label for weight reduction, for instance, has a listing price of $936 in the U.S. That is five times as expensive because the $168 list price in Japan.
The list prices are even lower in other countries. Ozempic is priced at $103 in Germany, $96 in Sweden and $83 in France.
Novo Nordisk’s Wegovy, which has the identical lively ingredient as Ozempic and is approved for weight reduction, has a listing price of more than $1,300 in the U.S. Meanwhile, Wegovy’s list price is just $328 in Germany.
Eli Lilly’s diabetes drug Mounjaro, which can also be used off-label for weight reduction, has a listing price of $1,023 in the U.S. but is just $319 in Japan and $444 in the Netherlands.
Representatives for Novo Nordisk and Eli Lilly didn’t immediately reply to CNBC’s request for comment Thursday.
These list prices and the patchy insurance coverage of weight-loss drugs in the U.S. undoubtedly affect accessibility. But a KFF survey released earlier this month suggests that in addition they affect patients’ overall interest in the medications.
The survey found that just about half of U.S. adults are generally interested in taking a prescription weight-loss drug, but that interest drops to 16% if the medication is not covered by insurance.
About 80% of adults in the survey said insurance firms should cover the cost of weight-loss drugs for adults who’re obese or obese, while half said insurers should cover the cost for anyone who wants to make use of them to drop pounds.
Latest trial data released by Novo Nordisk last week could potentially put more pressure on U.S. insurers to cover weight-loss drugs.
The Danish company’s trial found that Wegovy slashed the danger of great heart problems and heart-related death by 20% in obese or obese patients with established heart problems.
The outcomes suggest that Wegovy and sure other obesity drugs have significant health advantages beyond shedding unwanted kilos. But organizations representing insurers have told CNBC that more data is required before they might qualify for broader coverage.