The Trump administration is expected to announce, possibly as soon as this week, a deal with drugmakers Eli Lilly and Novo Nordisk to reduce the price of their weight-loss drugs in exchange for limited Medicare coverage, according to two people familiar with the plan.
The deal would reduce the cost of the lowest doses of the blockbuster GLP-1 drugs — Lilly’s Zepbound and Novo Nordisk’s Wegovy — to just $149 a month, according to these people.
In exchange, Medicare would cover medications for some Medicare beneficiaries.
It is not yet clear whether the $149 price would be applied across the board to private and public insurance, or only to people who pay cash. It was also not immediately clear which Medicare patients would be eligible for coverage. Details of the plan could still change.
The people confirmed the potential deal on condition of anonymity because they were not authorized to speak publicly. The news was first published by Endpoint News.
The Washington Post reported that the deal could be announced as early as Thursday.
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White House spokesman Kush Desai said in a statement that “discussions about agreements that have not been officially announced by the Administration should be considered speculation.”
In emailed statements, spokespeople for Lilly and Novo Nordisk confirmed that they are in talks with the Trump Administration, but did not provide details on any potential deal.
If finalized, it would be the most significant deal to emerge from President Donald Trump’s efforts to lower prescription drug prices to align them more closely with those of other developed countries, also known as his “most favored nation” drug pricing initiative. Trump revived the initiative through an executive order in May, after failing to achieve it during his first term.
The Administration has also reached agreements with Pfizer and AstraZeneca to reduce the costs of some prescription drugs under Medicaid.
In October, Trump said the administration was close to a deal to reduce the cost of weight-loss drugs.
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“Instead of $1,300, about $150 will be paid,” he said from the White House.
Zepbound and Wegovy currently have list prices above $1,000 a month, although both companies have launched lower-cost options for people who pay cash, amid intense public pressure over the high cost of medications. Costco recently announced that it would sell Wegovy and its diabetes drug Ozempic for $499 to uninsured people; Lilly announced a similar deal with Walmart for Zepbound.
Medicare currently covers Wegovy for patients at risk for heart disease, as well as Zepbound for sleep apnea, but not for weight loss alone. Ozempic, which has the same active ingredient as Wegovy, is covered for diabetes.
The Biden Administration proposed expanding coverage of GLP-1 drugs through Medicare and Medicaid, but the Trump Administration later rejected the plan.
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Ozempic and Wegovy are also included in the next round of Medicare drug price negotiations under the Inflation Reduction Act, which then-President Joe Biden signed into law in 2022. The Trump Administration was expected to finalize new prices for 15 drugs, including GLP-1, by Nov. 1.
Trump officials have shown less enthusiasm for negotiations, focusing instead on executive orders and voluntary pricing agreements with drugmakers. The Administration is expected to announce the new prices before November 30.
