Sen. Bernie Sanders (I-VT) is taking aim at one of Big Pharma’s newest cash cows: the latest generation of effective obesity drugs.Wednesday, Sanders’ office announced A senator has announced that he is launching an investigation into Novo Nordisk over the “astronomically high” list prices of its drugs Wegoby and Ozempic. Both drugs can cost about $1,000 or more per month without insurance coverage.
Wegovy and Ozempic are made with the same active ingredient, semaglutide, which is a long-acting mimic of the hormone GLP-1. Ozempic was approved in 2017 to treat type 2 diabetes, and Wigovy was approved in 2021 to treat obesity. Although Ozempic is not officially approved for obesity, off-label prescriptions are increasing. In clinical trials, patients who took Wegovy lost an average of 15% of their baseline body weight. This far exceeds the typical success seen with diet and exercise alone or with older medications.
In the years since Wegovy’s approval, its effectiveness as a treatment has been solidified. Weight loss and beyond. Clinical trials have found that GLP-1 therapy can reduce the risk of obesity-related complications such as heart disease and kidney disease, and some studies have shown that GLP-1 therapy can reduce the risk of obesity-related complications such as heart disease and kidney disease. It has even been suggested that it may help reduce unhealthy cravings in people. In November 2023, Eli Lilly’s tirzepatide was approved for the treatment of obesity. This drug, which enhances its effect by combining GLP-1 with other hormones, significantly enhances this potential. Type of drug as a whole.
These drugs are impressive, but they weren’t cheap, at least not in the United States. At list price, a supply of Ozempic can cost nearly $1,000 a month, while Wegobee can cost more than $1,300 a month. While some users are fortunate to pay much less, coverage for these drugs is spotty and often short-term. High list prices also burden public payers like Medicare, which can lead to drug rationing and restrictions on patient eligibility (Medicare is explicitly prohibited from covering obesity drugs in general). However, such drugs are eligible if they treat another approved condition, such as type 2 diabetes or heart disease). Additionally, out-of-pocket costs are significantly lower in many other countries.
It’s this disparity that Sanders hopes to address in his capacity as chairman of the Senate Health, Education, Labor, and Pensions Committee.
“Novo Nordisk scientists deserve tremendous credit for developing these potentially game-changing drugs for the millions of Americans suffering from type 2 diabetes and obesity. “These drugs are important, but they are of no use to the millions of patients who cannot afford them,” Sander wrote in his book. letter Novo Nordisk was notified of the Commission’s investigation.
Sanders points out that Novo Nordisk made more than $12 billion in profits last year, up 76% from 2021, largely made possible by the arrival of Wegovy. And while drug companies do have the right to recoup the huge sums of money needed to research and develop their products, Sanders argues that the companies are jacking up prices, especially for Americans. Ozempic and Wegovy can cost around $100 to $150 in countries like Germany and the United Kingdom. A recent study by researchers at Yale University also estimated his one month’s supply of Ozempic. Manufactured Even with some profit margins, it’s less than $5 a month.
High drug prices, inadequate insurance coverage, and regular drug shortages are contributing to the growth of the black market they rely on. Although there are no guarantees of safety and efficacy, people can purchase synthetic or counterfeit versions of semaglutide (approximately $200 to $300 per month) for significantly less.And there already reported Some people get injured as a result.
Given the growing popularity of these treatments and the potential patient population (more than 40% of adult Americans are obese), Sanders also believes that these high costs will be subsidized by local and federal public payments such as Medicare. They are also concerned about how this will affect the stability of the system. forward.
“[I]If the prices of these products are not significantly reduced, Medicare, Medicaid, and the entire health care system could go bankrupt. “The United States Congress and the federal government cannot allow that to happen,” Sanders wrote in the letter.
The committee’s investigation will require Novo Nordisk to provide details on how the prices for both drugs were determined and the accounting for the expenditures required to bring them to market. .
