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Medicare will cover weight-loss drugs in 2027

Written by Diane Archer

GLP-1 drugs for weight loss continue to cost a pretty penny. For that reason, Medicare does not yet cover them. But, The Guardian reports that the Trump administration recently announced that Medicaid and Medicare would cover these drugs as part of a five-year pilot program to reduce obesity and improve health.

Today, Medicare only covers weight-loss drugs like Ozempic, Wegovy, Zepbound and Mounjaro for people with conditions associated with being overweight, including people with type 2 diabetes. But, as of January 2027, it will cover these drugs under Medicare Part D for anyone needing to lose weight. Because these drugs tend to cost as much as $7,000 a year, covering them will likely bump up Medicare expenses significantly.

To be clear, it will be up to the Part D insurers to determine whether they will cover these weight-loss drugs. They could decide not to do so. If they do, Part D premiums and/or cost-sharing are sure to rise.

The decision to allow Part D plans to cover these drugs marks an about-face for the Trump administration. Of note, CMS Administrator, Mehmet Oz, appears to support Medicare coverage of these drugs. HHS Secretary RFK Jr. believes that they cost too much and that people should be exercising and eating healthy diets to maintain a healthy weight.

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