Why Ozempic and 14 other drugs could become cheaper in 2027

Blockbuster weight loss drug Ozempic could become cheaper by 2027 as it is on the list of drugs the government is targeting for price negotiations this year.

Medicare will negotiate prices with manufacturers of 15 drugs in 2025, including the weight-loss drugs Ozempic, Weygovy and Rybelsus, the Department of Health and Human Services announced Friday. The new rates will come into effect in 2027.

This is the second year that the government’s health insurance program for the elderly will be implemented negotiate drug prices after the Inflation Reduction Act allowed it to do so in 2022. The first round of negotiations in 2024 resulted in lower prices for 10 drugs, which will take effect in 2026 and saving Medicare beneficiaries personal expenses are estimated at $1.5 billion.

The second round could prove even more important, as it includes three drugs from the class of “GLP-1 inhibitors” that have been shown to be very effective in scientific trials in the treatment of obesity and diabetes, but which are prohibitively expensive for many people who could benefit from them.

For example, a Senate hearing earlier this year found that U.S. residents pay $969 per month for Ozempic. Under a policy announced by the White House earlier this year, Medicare and Medicaid will start covering weight loss medications in 2026.

Other drugs on the negotiation list for 2025 include:

• Trelegy Ellipta (COPD and Athsma)
• Xtandi (prostate cancer)
• Pomalyst (Cancer)
• Ibrance (breast cancer)
• Ofev (lung disease)
• Linzess (irritable bowel syndrome)
• Calquence (Leukemia)
• Austedo; Austedo XR (symptoms of Huntington’s disease)
• Breo Ellipta (Asthma)
• Tradjenta (diabetes)
• Xifaxan (irritable bowel syndrome)
• Vraylar (Mental illness)
• Janumet; Janumet XR (Diabetes)
• Remove it (psoriasis)