Overview

• The Trump administration announced it will not finalize a Biden-era proposal to expand Medicare and Medicaid coverage for anti-obesity drugs like Wegovy and Zepbound.
• The Biden proposal sought to reinterpret Medicare's statutory prohibition on weight-loss drug coverage by classifying obesity as a chronic disease, potentially benefiting 7.4 million Americans.
• Officials cited fiscal concerns, with estimates suggesting the expansion could cost Medicare $25 billion and Medicaid $15 billion over the next decade.
• Medicare will continue to cover GLP-1 drugs for conditions like diabetes and heart disease but not for weight-loss purposes alone.
• Health and Human Services Secretary Robert F. Kennedy Jr. emphasized lifestyle changes over medication, while CMS Administrator Mehmet Oz has expressed support for the benefits of GLP-1 drugs.