From CNBC:

Cigna plans to expand coverage for weight loss drugs, like Novo Nordisk’s Wegovy, by limiting annual spending increases to 15%. This move aims to make the treatments more accessible as Americans continue to spend roughly $1,000 per month on these medications. Insurance plans currently cover diabetes treatments, but coverage for weight loss drugs varies.

Cigna’s Evernorth unit struck agreements with Novo Nordisk and Eli Lilly to cap spending increases on weight loss and diabetes drugs. With some health plans seeing spending rise 40-50% annually, this new initiative could provide financial predictability for health plans and employers. The “first financial guarantee” for coverage involves GLP-1 drugs that suppress appetite and regulate blood sugar.

76% of companies already provide GLP-1 drug coverage for diabetes, but only 27% cover weight loss medications. Despite this gap, 13% of plan sponsors are considering expanding coverage for weight loss treatments. Cigna’s existing program, EncircleRx, will also be expanded to target patients with diabetes, obesity, and cardiovascular disease, along with behavioral change services from Omada Health.

Overall, Cigna’s effort to limit spending increases on weight loss and diabetes drugs could provide more options for patients seeking these treatments. The move addresses the high costs associated with these medications and aims to ensure broader access to eligible patients. The company’s initiative underscores a shift towards greater coverage and financial predictability in the healthcare industry.



Read more at CNBC: Cigna to cap employer insurance plan spending