A new Northwestern University study released on July 16 found that as the use of GLP-1 drugs increased across the United States, average total payments per user also rose significantly. The analysis examined national trends in GLP-1 use and spending between 2017 and 2022, including out-of-pocket costs paid by patients and payments from insurers, employers, and government programs.
The study's authors said their findings raise questions about the long-term affordability of these drugs, which many patients may need for years or decades. These concerns have become more relevant after Medicare launched a temporary program earlier this month allowing millions of eligible seniors potential access to GLP-1s for a flat $50 monthly copayment.
The research used data from the Medical Expenditure Panel Survey to analyze usage and spending trends among nearly 1,900 participants who reported using a GLP-1 drug during the study period. The authors estimate these participants represent over 20 million U.S. adults. The timeframe covered approvals for semaglutide (Ozempic) for Type 2 diabetes in 2017 and weight management (Wegovy) in 2021; tirzepatide (Zepbound, Mounjaro), approved after the study period, was not included.
Senior author Xiaoning Huang, assistant professor of medicine at Northwestern University Feinberg School of Medicine, said, "On the commercial side, employers and insurers facing higher drug spending tend to pass it through in the form of higher premiums, higher deductibles or tighter rules." Huang continued: "On the public side, it shows up as higher Medicare and Medicaid spending funded by taxpayers, and some state Medicaid programs have started dropping coverage under budget pressure. So, the bill ultimately lands on premium payers, taxpayers and, in some cases, on patients who lose coverage or face new hurdles."
The scientists noted that while their analysis only used data through 2022, Medicare and Medicaid spending on GLP-1s has continued to increase in recent years. Huang said more studies are needed to evaluate policies that could reduce both overall costs and out-of-pocket payments for these medications.
Other authors include Lucia Petito and Dr. Sadiya Khan. The study is titled "Trends in Usage and Payments for Glucagon-Like Peptide 1 Receptor Agonists in the United States, 2017 to 2022: A Nationally Representative Repeated Cross-Sectional Study," with funding provided by a National Institutes of Health grant.
