Drugmaker's Fight with Bernie Sanders Over Exorbitant Ozempic Costs Intensifies
Let's Talk Obesity Meds: Bernie Sanders Takes Aim at Novo Nordisk
Senator Bernie Sanders is on a roll, this time setting his sights on Big Pharma's latest profit-makers - obesity meds Wegovy and Ozempic, manufactured by Novo Nordisk. The Vermont senator is firing up an investigation, citing the eye-watering prices as the reason behind the probe.
Wegovy and Ozempic, both featuring the active ingredient semaglutide, have been proving their weight-loss worth. Ozempic, approved in 2017 for type 2 diabetes, has found a second life off-label as an obesity treatment. Wegovy, approved for obesity in 2021, has produced some impressive results, with clinical trial participants losing an average of 15% of their baseline weight.
The effectiveness of these drugs extends beyond sheer weight loss. GLP-1 therapy, like semaglutide, has been shown to reduce the risk of heart and kidney disease linked to obesity, and some studies even suggest it could curb unhealthy cravings for alcohol and drugs.
But here's the catch - while these drugs may be a game-changer for millions, they come with a hefty price tag, especially in the US. A monthly supply of Ozempic can clock in at almost $1,000, while Wegovy might set you back over $1,300. While some folks pay less, insurance coverage can be sketchy, and when it does exist, it's often fleeting.
The high prices, coupled with spotty insurance and occasional shortages, have spawned a black market. People can snag counterfeit or compounded semaglutide for around $200 to $300 a month, but there's no assurance of the stuff's safety or effectiveness. And let's not forget the reports of people getting hurt due to these shady purchases.
As chairman of the Senate Health, Education, Labor, and Pensions (HELP) Committee, Sanders is looking to level the playing field. In a letter to Novo Nordisk, he pointed out the company's profits of over $12 billion last year, a significant chunk of which thanks to Wegovy. The senator argues that while drug makers deserve to recoup research and development costs, they're greedily overpricing the meds, particularly for US consumers.
In comparison, Ozempic and Wegovy cost around $100 to $150 monthly in countries like Germany and the UK. A recent study estimated that manufacturing a month's supply of Ozempic could cost less than five dollars, even accounting for a profit margin.
Adding fuel to the fire, Sanders worries about the impact of these high costs on local and federal public payer systems, such as Medicare, in the long run. In fact, he warned that if prices aren't reduced, the drugs could bankrupt the healthcare system.
As part of the investigation, Sanders plans to grill Novo Nordisk on how the prices for both drugs were set and the expenses involved in bringing them to market. Given the rising popularity of these meds and the massive potential patient base, this probe couldn't come at a better time.
Insights:- The investigation is being led by Senator Bernie Sanders, who is concerned about the high prices of obesity medications, particularly Wegovy and Ozempic, made by Novo Nordisk.- The senator argues that these high prices could bankrupt the American healthcare system, potentially increasing federal spending by $35 billion from 2026 to 2034 if such drugs were covered under Medicare.- The probe is timely given the rising popularity of these medications and the large potential patient base, making up over 40% of adult Americans.- Two versions of the meds - Ozempic and Wegovy - can cost around $100 to $150 in countries like Germany and the UK, while the prices in the US are significantly higher.- According to a recent study, a month's supply of Ozempic could be manufactured for less than five dollars, even with a profit margin, leading to concerns about price-gouging in the US market.
- Senator Bernie Sanders is investigating Novo Nordisk over the high prices of obesity medications, specifically Wegovy and Ozempic, which are proven to have effectiveness in weight loss and reducing the risk of heart and kidney diseases.
- The senator is concerned that the prices of these medications, typically around $1,000 for Ozempic and over $1,300 for Wegovy in the US, could potentially bankrup the healthcare system and increase federal spending by $35 billion from 2026 to 2034.
- In comparison, the cost of these medications is around $100 to $150 monthly in countries like Germany and the UK, suggesting concerns about price-gouging in the US market.
- Given the rising popularity of these medications and the large potential patient base, which makes up over 40% of adult Americans, this investigation couldn't come at a better time.
