Key Takeaways: Mastering GLP-1s: Winning Strategies for Employers

Executive Summary

The webinar "Mastering GLP One Coverage: Winning Strategies for Employers," sponsored by Grocker, addresses the financial and strategic challenges employers face due to the rising demand for GLP-1 medications, initially developed for diabetes but now widely used for weight management. Mark Vickers introduces speakers Lorna Borenstein and Tara Valenti, who discuss the high costs associated with these medications, averaging $9,000 to $10,000 per patient annually, and the need for comprehensive, scalable weight management programs. The webinar emphasizes the importance of combining GLP-1 medication coverage with holistic support systems, including lifestyle changes, education, community support, and behavior-based interventions, to ensure long-term success and cost-effectiveness. The Healthy Weight Suite, a program integrating GLP-1 support with sustainable weight management strategies, is highlighted for its potential to save employers $3.5 million annually and improve employee well-being. Employers are encouraged to adopt balanced approaches that incorporate emotional and behavioral health resources to manage the growing demand and costs effectively.

Speakers

  • Lorna Borenstein, Founder and CEO, Grokker
  • Tarah Valenti Venn, RDN,, Registered Dietician, Tarah Venn Nutrition
  • Mark Vickers, Chief Research Analyst & Data Wrangler, HR.com

Key Takeaways

1. Financial Challenges Employers: face significant financial challenges due to the high demand and costs of GLP-1 medications, averaging $9,000 to $10,000 per patient annually.

2. Comprehensive Support System: comprehensive support system, including lifestyle changes and behavior-based interventions, is crucial for long-term success and cost-effectiveness in weight management.

3. Healthy Weight Suite: Healthy Weight Suite, combining GLP-1 support and sustainable healthy weight programs, can lead to projected annual cost savings of $3.5 million.

4. Program Effectiveness Appeal: 80% of the population opts for the sustainable healthy weight program, indicating its effectiveness and appeal.

5. Coverage Approaches GLP-1: are exploring various coverage approaches for GLP-1 medications, with some requiring clinical oversight or requalification every three months.

6. Essential Health Resources: emotional and behavioral health resources, community support, and personalized daily tracking is essential for effective weight management.

7. Pill Form Demand: introduction of a pill form of GLP-1 medications is expected to increase demand, necessitating careful plan design and holistic support to address employee needs.

Key Quote

One of the things that the research also shows is that the number one reason why people discontinue usage is because they just weren't prepared for the side effects.

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Webinar

Watch Full Webinar here. 

Effective GLP-1 Coverage Strategies for Employers

In today's rapidly evolving healthcare landscape, employers are increasingly challenged with managing the costs and demands associated with GLP-1 medications. Originally developed for diabetes, these drugs have become a popular treatment for weight management due to their effectiveness in providing sustained weight loss. The financial burden they impose on employer health plans is significant, necessitating a strategic approach to coverage and support. Addressing obesity and overweight effectively can lead to substantial cost savings and improved employee well-being. Implementing a comprehensive healthy weight program that focuses on sustainable health habits provides a holistic support system for employees, offering an innovative solution to these challenges.

GLP-1 Coverage Strategies for Employers

The rising demand for GLP-1 medications stems from several factors. The high cost of developing these drugs, such as the $10 billion investment in Ozempic over 30 years, has driven up prices. Additionally, the increasing prevalence of obesity and related health conditions has led more individuals to seek these medications. Societal pressures and the stigma associated with being overweight also contribute to the growing demand, as individuals strive to avoid negative social and emotional impacts.

Employers must carefully consider their approach to GLP-1 coverage. Decisions on coverage—whether for diabetics only, those with obesity and comorbidities, or a broader population—must be balanced with financial implications. It is crucial that any coverage strategy includes comprehensive support for lifestyle changes, as the effectiveness of GLP-1 medications is significantly enhanced when combined with proper nutrition, exercise, and behavioral modifications. Without this support, high discontinuation rates and potential weight regain can render the investment inefficient.

A holistic approach to weight management is essential for optimizing health outcomes and ensuring the sustainability of health investments. This involves providing employees with access to resources that support long-term behavior change, such as nutrition education, physical activity programs, and mental health support. Employers should also consider the emotional and social aspects of weight management, recognizing that a supportive and inclusive workplace culture can significantly impact an individual's success in achieving and maintaining a healthy weight.

The goal for employers is to create a comprehensive wellness program that addresses the needs of their entire population, not just those who qualify for GLP-1 medications. By investing in a well-rounded approach that includes both medical and lifestyle support, employers can help their employees achieve better health outcomes while managing healthcare costs more effectively. This strategy benefits individual employees and contributes to a healthier, more productive workforce overall.

A key component of this approach is the integration of GLP-1 support alongside a sustainable healthy weight program. Data indicates that while 20% of the population may opt for GLP-1 support, 80% prefer the sustainable healthy weight program. This underscores the importance of catering to the broader needs of the population, ensuring that the majority can benefit from a well-rounded health management system. By focusing on sustainable habits, organizations can help employees live better without restrictive measures.

Employers are exploring various strategies to cover the costs of GLP-1 medications. Some are willing to cover the medication as long as employees meet specific requirements, such as regular coaching sessions and exercise tracking. Others may require employees to requalify periodically, which can be emotionally taxing. The cost implications are significant, with estimates suggesting $1 million per hundred employees. Therefore, a balanced approach that includes medication coverage and holistic weight management programs is essential for long-term success.

The impact of a healthy weight suite is evident in the data. Participants have reported sustainable weight loss, averaging 3.5 to 5% of their body weight over an eight-week period, which is ideal for long-term maintenance. Additionally, 90% of participants felt more focused and productive, and 97% developed sustainable healthy habits. These outcomes demonstrate the effectiveness of a comprehensive program that supports behavior change and well-being, making it a valuable tool for employers.

Effectively managing GLP-1 medication costs and demand requires a comprehensive strategy that encompasses more than just coverage. Employers should integrate GLP-1 support with broader weight management initiatives, considering emotional and social factors. Investing in holistic wellness programs that promote sustainable behavior change can optimize health investments, enhance employee well-being, and foster a resilient, productive workforce. Emphasizing consistent support and building a supportive community empowers employees to maintain their health goals, leading to significant cost savings and improved overall health.