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US health agency unveils weight-loss drug coverage model

The BALANCE model will lower patient costs to $50 monthly for eligible Medicare enrollees and allow voluntary participation by manufacturers and states to expand GLP-1 drug access.

  • CMS launched the BALANCE model earlier this year to expand GLP-1 access in Medicare Part D with voluntary participation for manufacturers, states, and insurers.
  • More than 70% of U.S. adults have overweight or obesity, and Medicare's current legal ban on weight-loss drugs has complicated access, though the Biden administration last year proposed reinterpreting the law.
  • CMS will negotiate prices with Eli Lilly and Novo Nordisk, and eligible beneficiaries will pay $50 a month, while Medicare covers $245 per drug, tying access to lifestyle supports.
  • A short-term demonstration could provide Medicare access to GLP-1s by July, the model's test runs through December 2031, with state Medicaid agencies joining in May 2026 and Part D plans in January 2027.
  • Some states are dropping or restricting GLP-1 coverage due to high costs, even as 16 state Medicaid programs reported coverage as of October 1.
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Medicare opens door to covering blockbuster drugs for weight loss

Some Medicare enrollees may soon be able to access super-popular drugs for obesity under a voluntary model program, the Centers for Medicare and Medicaid Services announced Tuesday. Eligible beneficiaries will only have to pay $50 a month.

·Atlanta, United States
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Market Screener broke the news in on Tuesday, December 23, 2025.
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