On Thursday, CVS Health announced it will reinstate coverage for Eli Lilly's Zepbound and include the newly approved obesity medication Foundayo in its standard drug plans. This change, effective October 1 for Zepbound and June 1 for Foundayo, levels the playing field between Lilly and Novo Nordisk, which previously had its drug Wegovy favored in CVS's plans.
The inclusion of both GLP-1 medications in CVS Caremark's standard commercial formulary, which serves 25 million to 30 million Americans, is expected to generate 10% to 15% additional savings in the weight management category. CVS's move follows a year of negotiations aimed at making these treatments more affordable, with both drugmakers responding positively to CVS's leadership in the market.
While plan sponsors can still opt out of covering these medications, CVS's actions are seen as a step towards increasing competition and improving access to obesity treatments for patients