The anti-obesity drug Zepbound, developed by Eli Lilly & Co., is expected to become one of the biggest cost drivers for health insurers, employers, and government health programs in 2025. This follows a broader trend, with GLP-1 weight loss prescriptions such as Wegovy, Rybelsus, Saxenda, and Ozempic already significantly impacting employer health costs.
According to data released by the benefits consultancy Aon, these GLP-1 drugs are the “single biggest driver” of employer health costs, adding around 1% to total premium expenses for 2025. This contributes to an overall increase in employer-sponsored health insurance premiums, which are expected to rise by 9% in 2025, surpassing $16,000 per employee. The projected spike is higher than the 6.4% increase seen in both 2023 and 2024.
While these drugs are contributing to higher premiums, a new report from market research firm GlobalData suggests that Zepbound is poised to overtake other GLP-1 drugs in terms of market dominance. Zepbound has shown superior efficacy compared to Wegovy, a leading weight loss drug from Novo Nordisk. Zepbound resulted in an average weight loss of 20.2% of body weight, while Wegovy caused around 13.7% weight loss in clinical trials, according to GlobalData.
The launch of Zepbound into the crowded GLP-1 drug market coincides with an expanding consideration by health insurance companies, state Medicaid programs, and Medicare for coverage of these weight loss treatments. The Biden administration has proposed new rules to include coverage for weight loss drugs, though the changes won’t take effect until January 2026.
For individuals without insurance coverage for weight loss medications, the cost of Zepbound can be significant. A month’s supply of Zepbound is priced at $1,086.37, though those with commercial drug insurance may pay as little as $25 for a 1- or 3-month supply, depending on their plan. Without coverage, the cost can be as high as $650 for a one-month supply.
Despite these high costs, experts suggest that the potential long-term cost savings—by helping obese Americans lose weight and reduce the risk of costly medical issues, such as hospitalizations—could outweigh the upfront expense. GlobalData’s pharma analyst, Costanza Alciati, emphasized that the impact of Wegovy on the obesity market has been “huge,” and with the introduction of Zepbound, Eli Lilly’s drug is expected to be even more potent.
As health insurers and government health programs look to manage the costs of these new weight loss drugs, Zepbound’s price and efficacy will likely play a key role in shaping the financial landscape of obesity treatments in 2025.
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