Obesity Drug Coverage, Extra Formulary Checks Cut From Final Part D Rule

  • Apr 10, 2025

    In a move cheered by health insurers, President Donald Trump’s administration said on April 4 that it decided not to implement the part of a proposed rule that would have significantly expanded Medicare and Medicaid coverage of weight-loss medications. But whether the administration will ever reconsider its stance is anyone’s guess, experts say. 

    In its proposed Medicare Advantage and Part D rule for the 2026 contract year, issued in November 2024, former President Joe Biden’s administration sought to reinterpret the Social Security Act’s longstanding, statutory Part D coverage exclusion of drugs “used for anorexia, weight loss, or weight gain.” In doing so, drugs used to treat obesity — like the GLP-1 Wegovy (semaglutide) — would then have to be covered by Medicaid. 

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  • Leslie Small

    Leslie has been working in journalism since 2009 and reporting on the health care industry since 2014. She has covered the many ups and downs of the Affordable Care Act exchanges, the failed health insurer mega-mergers, and hundreds of other storylines spanning subjects such as Medicaid managed care, Medicare Advantage, employer-sponsored insurance, and prescription drug coverage. As the managing editor of Health Plan Weekly and Radar on Drug Benefits, she writes and edits for both publications while overseeing a small team of reporters who also focus on the managed care sector. Before joining AIS Health, she was a senior editor for the e-newsletter Fierce Health Payer, and she started her career as a copy editor at multiple local newspapers. She graduated with a dual degree in journalism and political science from Penn State University.

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