Why Are Drugs Like Ozempic and Wegovy So Expensive in the U.S.?

Imagine a world where drugs cost differently based on where you live. That's what happened at a recent Senate hearing in Washington, D.C. Novo Nordisk's CEO, Lars Fruergaard Jorgensen, was asked some tough questions about the high prices of two important medications: Ozempic for diabetes and Wegovy for weight loss.

Jorgensen blamed pharmacy benefit managers (PBMs) for the high costs. PBMs act like middlemen who negotiate drug deals between companies and insurance plans. He said he'd be happy to chat with them about lowering prices. But Senator Bernie Sanders wasn't convinced. He pointed out that these drugs are much cheaper in other countries. For example, Ozempic costs around $969 a month in the U.S., but only $155 in Canada and $59 in Germany! Jorgensen tried to explain that most Americans with insurance pay less than the list price. But some senators still defended the drug maker's pricing strategy. So, why do these drugs cost so much more in the U.S.? That's a question many people are asking.

Why Are Drugs Like Ozempic and Wegovy So Expensive in the U. S. ?

Actions