Novo Nordisk lowers Ozempic price to increase access for diabetes patients

In a significant move to enhance accessibility, Novo Nordisk has reduced the cash price of Ozempic in the United States to $499 per month for patients with Type 2 diabetes who do not have insurance coverage. This adjustment was made against the backdrop of a soaring demand for diabetes and weight-loss treatments, particularly given the rising market value of semaglutide drugs. Prior to this reduction, the list price of Ozempic was approximately $1,350 per month. The company aims to mitigate situations where patients might turn to unapproved and potentially dangerous alternatives due to prohibitive costs. In March, Novo Nordisk had adopted a similar pricing strategy for its weight loss drug, Wegovy, which also costs $499 per month for a three-dose supply. This pricing reform appears as a strategic response to the gaps in insurance coverage that many patients experience, as noted by GoodRx CEO Wendy Barnes. She highlighted the high demand from consumers for affordable and effective therapeutic options. Additionally, the competition in the GLP-1 market is intensifying, with Novo Nordisk pitted against Eli Lilly’s Mounjaro. As a part of a broader initiative to address affordability and patient access, this move follows substantial pressure from various stakeholders, including former President Donald Trump, who previously urged pharmaceutical companies to reduce costs by marketing directly to consumers and businesses. This situation demonstrates an evolving landscape in the diabetes treatment market, where affordability is becoming a primary concern. Alongside this pricing adjustment, there is a looming concern as patients' choices expand toward cheaper alternatives, some of which may be unsafe. Dave Moore, the executive vice president at Novo Nordisk, underscored the necessity of ensuring patients do not resort to these risky options. The substantial change in pricing establishes Novo Nordisk’s commitment to patient welfare, aiming to keep them away from unregulated products while ensuring they have access to effective treatments at a sustainable cost.