Why the List Prices for Popular Weight-Loss Drugs Like Ozempic Are Misleading

The listed retail prices for popular weight-loss drugs like Ozempic and Wegovy are a lot higher than what most patients actually pay — the difference can be as big as 79% — according to an analysis from the American Enterprise Institute.

This new class of drugs known as glucagon-like peptide-1 agonists, or GLP-1s, treat diabetes, aid in weight loss and some research has demonstrated can even lower the risk of a heart attack. Analysts from Goldman Sachs expect the market for these drugs to reach $100 billion by 2030.

The four major GLP-1 drugs — Ozempic, Wegovy, Rybelsus and Mounjaro — all have a starting list price of over $900 for a month's supply. However, the net payment manufacturers receive is a lot lower.

Analysts at AEI used the SSR Health US Brand Rx Net Price Tool to find the estimated average net price that the drug manufacturers actually receive after coupons and rebates are accounted for. The tool uses revenue and inventory data to find the average net price for all purchasers of a drug including government programs like Medicaid.

Mounjaro had the biggest difference — 79% —  between list ($1,023) and net price ($215), followed by Ozempic at 69%, Rybelsus at 64% and Wegovy at 48%, the AEI estimated.

The difference in prices can have an impact on insurance and policy considerations, since insurers set cost-sharing as a percentage of a drug’s list price and not its net price, according to the researchers.

"This can increase costs for those taking the medications while implicitly reducing premiums for non-users," the researchers wrote.

The list prices in the U.S. for these drugs are much bigger than in other countries. For example, one month’s supply of Wegovy is priced at $1,349 in the U.S. — more than four times as expensive as Germany's list price of $328.