Overview

• The Centers for Medicare and Medicaid ServicesMedicare will not cover anti-obesity drugs like Wegovy and Zepbound under the Trump administration's policy.
• The Biden administration's proposal aimed to classify obesity as a chronic disease, expanding drug coverage to over 7 million Medicare and Medicaid beneficiaries.
• The Congressional Budget Office estimated the proposed expansion would cost $35 billion over nine years, raising concerns about fiscal sustainability.
• Currently, Medicare covers GLP-1 medications for diabetes and heart disease but prohibits coverage for drugs used solely for weight loss.
• CMS indicated it may revisit the issue in the future, pending further review of the drugs’ benefits and financial impacts on federal and state budgets.