Nebraska Legislators Considering Weight-Loss Drugs To Be Self-Funded Under State Medicaid Program

Nebraska Senator Merv Riepe has presented a bill to mandate state coverage of obesity treatments, including high-priced GLP-1 medications such as Ozempic and Wegovy.

Nebraska would spend $42.4 million annually on GLP-1 medication coverage, according to the state’s Department of Health and Human Services, if 60% of Medicaid patients with a body mass index (BMI) of 30 or more and 15% of those with a BMI of 25–29 took the medication.

According to Nebraska Medical Association witness Brianna Johnson-Rabbett, MD, a substantially lower percentage is really using GLP-1 weight reduction medications. This is especially true in places where Medicaid covers these medications, where only 1.4% of participants who qualify for prescriptions actually do so.

Sixteen states pay for some kind of weight reduction medication through Medicaid, according to a KFF poll of state Medicaid directors conducted in November. There are five more states that are thinking about expanding coverage.

Ozempic, Trulicity, Victoza, and Mounjaro are GLP-1 medications that are given for weight loss even though they are licensed to treat Type 2 diabetes. Novo Nordisk’s Wegovy and Saxenda, as well as Zepbound, made by Eli Lily, are all legitimate options for those looking to shed some pounds.

Without health insurance, the cost of the medications might reach $10,000 per year. Medicare cannot cover weight loss medications due to federal legislation.