Employers ‘Very Concerned’ About Weight Loss Drug Costs

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Employers’ views on how much virtual health will change care delivery for their employees may have peaked with the pandemic. In 2021, 85% of employers surveyed by the Business Group On Health said they believed virtual health would have a significant impact on how care is delivered in the future. In 2023, only 64% thought the same, according to the annual survey released this week, which included 152 large employers representing 19 million employees and dependents.

The Business Group On Health also took the temperature on the buzzy weight loss drugs known as GLP-1s, which include Ozempic and Wegovy. More than half of all employers surveyed were “very concerned” about the long-term cost implications of GLP-1s. Ninety-two percent of employers said they offered coverage for the drugs for diabetes in 2023, while only 46% offered coverage for weight loss. One of the most common criteria for coverage was that it must be paired with lifestyle modification and the patient has to meet certain BMI or have certain other existing conditions. A recent poll by KFF found nearly half of U.S. adults expressed interest in taking drugs to lose weight, but they changed their minds when provided more information that it requires a weekly injection and may not be covered by insurance.

Amazon’s Radical Plan For Healthcare: À La Carte Pricing

When ordering a hamburger at a restaurant, you know how much it’s going to cost before you start eating. When going to the doctor in the United States, it could be weeks or months before you know how much that office visit is going to set you back. With Amazon Clinic, one of the world’s biggest technology companies is looking to infuse the black box of healthcare pricing with some actual transparency. Patients can see wait times and pricing upfront, but there are limits to what even the world’s biggest retailer can do to make a dent in the $4.3 trillion the U.S. spends on healthcare.

Pipeline & Deal Updates

RSV: The FDA approved Pfizer’s vaccine Abrysvo against the respiratory virus RSV to be given to pregnant parents to protect babies from birth through six months. It’s the first maternal vaccine approved in the U.S.

Magnetic Surgery: Levita, which has developed a minimally invasive surgical platform that utilizes magnets to enable surgeries without invasive incisions, announced that it has received FDA clearance for its technology.

Women’s Health: Visana Health raised a $10.1 million seed round, co-led by Flare Capital Partners and Frist Cressey Ventures, for its virtual clinic for women’s health.

Artificial Intelligence: Genesis Therapeutics raised a $200 million Series B, co-led by an unnamed investor and Andreessen Horowitz, for its artificial intelligence for drug discovery platform.

Cell Analysis: Lightcast Discovery, which has developed a platform for single-cell functional analysis that potentially enables simultaneous assays of tens of thousands of cells, announced it has raised a $49 million series B round led by M Ventures.

This Startup Just Raised $60 Million To Help Cancer Patients Navigate Their Care

When a patient is told they have been diagnosed with cancer, it can be both terrifying and confusing. From medical jargon to drug names to complicated procedures, they’re left with a barrage of information to interpret and retain. On top of that are their practical concerns about how to pay for treatment or even arrange transportation to their appointments. That’s where startup Thyme Care wants to help by providing 24/7 support in helping patients navigate their care on everything from chemo to making sure they have groceries.

Other Healthcare News

Blue Shield of California hopes to save $500 million a year by dropping its affiliation with CVS Health’s Caremark and splitting its pharmacy benefits across other companies, including Amazon and Mark CubanCost Plus Drugs. However, CVS Caremark will continue to provide specialty pharmacy services for the health insurer’s members with “complex conditions.”

The FDA is expected to approve new Covid-19 boosters targeted towards the most commonly circulating variants around late September which is why some doctors are recommending holding off until then.

A federal appeals court ruled to reinstate restrictions on the abortion drug mifepristone, however there won’t be any changes until the Supreme Court rules – or decides not to hear – the case.

South Carolina’s six-week abortion ban will take effect after it was upheld by the state Supreme Court.

Health officials in Washington state have linked a small listeria outbreak to improperly cleaned milkshake machines at a local restaurant.