North Carolina Seeks Affordable Solutions to Weight Loss Drugs Amid Rising Costs and Controversial Negotiations with Drug Manufacturers

On Monday, the North Carolina State Health Plan issued a formal request for ideas from the marketplace to help reduce the cost of weight-loss drugs. The State Treasurer, Dale Folwell, who chairs the health plan’s board and oversees the plan, expressed hope that someone or a company will help find an affordable way to offer these drugs to members.

Approximately 740,000 state employees and their family members receive health care through the State Health Plan. While only 23,000 members are currently using weight-loss drugs, they are so expensive that continued coverage would prompt the plan to double its monthly premiums for many members due to a projected rise in demand. Plan spending on these medications was forecasted to surpass $170 million in 2024, escalating to over $1 billion in the next six years.

Folwell criticized Novo Nordisk, the manufacturer of Wegovy and Saxenda, accusing the company and other manufacturers of overcharging. He stated that the State Health Plan has been negotiating for lower prices with the Danish drugmaker, but the discussions have been unproductive. Folwell emphasized that they are doing everything possible to provide these drugs to members who need them most and simply wish to be treated fairly without being price-gouged.

Novo Nordisk representatives did not immediately respond to requests for comment on Monday. Earlier this month, the company informed WRAL that they had presented several negotiation offers to state officials and were surprised and disappointed by North Carolina’s rejection of viable options. The company criticized State Health Plan officials for allegedly abandoning their commitment to employees dealing with obesity and denying them coverage for safe and effective treatments, describing it as irresponsible to withhold insurance coverage for FDA-approved treatments.

The North Carolina State Health Plan is seeking public input on how to reduce costs associated with weight loss drugs by issuing a formal request on Monday for ideas from