---
title: "Investing in Health: Employer Coverage of GLP-1 Weight Loss Drugs"
description: Discover the key benefits of GLP-1 weight loss drugs and what employers should consider when determining how to cover these medications.
image: https://blog.valenzhealth.com/hubfs/Blog/AdobeStock_971157491%20(1)-1.jpeg
---

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# Investing in Health: Employer Coverage of GLP-1 Weight Loss Drugs

 By [Vālenz Health®](https://blog.valenzhealth.com/author/valenz-health) - November 08, 2024

[Pharmacy and Prescription Drugs](https://blog.valenzhealth.com/tag/pharmacy-and-prescription-drugs) [GLP-1s](https://blog.valenzhealth.com/tag/glp-1s)

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![A female patient using a GLP-1 weight loss drug. ](https://blog.valenzhealth.com/hs-fs/hubfs/Blog/AdobeStock_971157491%20(1)-1.jpeg?width=485&height=485&name=AdobeStock_971157491%20(1)-1.jpeg)

The popularity of glucagon-like peptide-1 (GLP-1) weight loss drugs has skyrocketed recently, and it’s no wonder when you consider the impact these drugs can have on people’s lives.

However, GLP-1 weight loss drugs also come with a large financial impact on employers, leading to them balancing the financial implications with investing in their employees’ health by covering GLP-1s. 

## Investing in Employees’ Health: The Impacts of GLP-1 Weight Loss Drugs

The benefits of GLP-1s don’t just stop with the person taking the GLP-1. They also extend to their employer.

Some of the benefits of GLP-1 weight loss drugs include:

### Improved Health Outcomes

One of the top benefits of GLP-1 weight loss drugs is improved health outcomes. GLP-1 drugs can help people [lose up to 15–20% of their body weight](https://pubmed.ncbi.nlm.nih.gov/36321278/), which helps people with type 2 diabetes or obesity manage their risk for other conditions.

GLP-1s can help reduce the risk of complications from conditions such as cardiovascular disease, high blood pressure, high cholesterol, kidney failure, and more — or potentially reverse these conditions altogether. As a result, members taking GLP-1s may experience fewer hospitalizations and emergency room visits, which, in turn, can lower healthcare costs.

### Reduced Absenteeism

By helping employees with weight management strategies such as GLP-1s, those who take these medications can better manage their risk for other conditions, which has a large impact on productivity and absenteeism. A healthier workforce can help reduce absenteeism, improve productivity, and reduce indirect costs from lost productivity due to illness.

### Positive Impact on Employee Quality of Life

[GLP-1s have a positive impact on many facets of life](https://blog.valenzhealth.com/the-impact-of-glp-1-weight-loss-drugs-on-workforce-health-a-comprehensive-overview) for employees with type 2 diabetes or obesity.

By losing weight and improving their risk for other conditions, members who take these medications may experience a boost in their mental health and self-esteem, which can improve their personal outlook and social life. Plus, [reducing the risk of chronic conditions](https://blog.valenzhealth.com/complex-healthcare-needs) can lead to financial relief from costly medications used to treat these conditions.

## What Employers Should Consider

Even though GLP-1s have plenty of benefits for employers and employees alike, they are expensive. Annual costs for GLP-1s can exceed [$11,000](https://www.kff.org/policy-watch/medicare-spending-on-ozempic-and-other-glp-1s-is-skyrocketing/) per member taking the medication. 

Employers should weigh the up-front costs against the potential savings to determine if GLP-1s are a good fit for their health plan. Some factors to consider include: 

### Behavioral Changes

GLP-1 weight loss drugs are only effective for weight loss management when combined with other lifestyle changes, such as diet and exercise. Approximately [two-thirds](https://www.reuters.com/business/healthcare-pharmaceuticals/most-patients-using-weight-loss-drugs-like-wegovy-stop-within-year-data-show-2023-07-11/) of people stop taking GLP-1s within a year.

[To set your employees up for success](https://blog.valenzhealth.com/navigating-the-world-of-glp-1s-key-insights-for-employers), it’s important to ensure they have the tools they need to succeed on their weight loss journey. To do this, employers should ensure they have a comprehensive benefits plan with health resources such as nutrition education, coaching, and exercise support.

### Understanding of GLP-1s

GLP-1s were initially developed to treat type 2 diabetes by mimicking the [GLP-1 hormone](https://www.uchicagomedicine.org/forefront/research-and-discoveries-articles/research-on-glp-1-drugs), which controls blood glucose levels and insulin. They were then found to be effective for weight management.

However, with the rise in popularity of GLP-1 weight loss drugs, there’s also been a rise in myths circulating about these medications, such as that “[natural semaglutide](https://blog-wwhs.ww.com/perspectives/8-myths-about-glp-1-medications-what-employers-need-to-know)” provided by some medical spas is a cost-effective way to treat obesity. 

As such, there is a disparity in understanding of GLP-1s among employers and even among HR leaders. Many employers and HR leaders know about GLP-1s but may not fully understand what they’re used to treat. Understanding what they’re used for can greatly impact whether these medications are covered. Given the popularity of GLP-1s and their efficacy in treating type 2 diabetes and helping to manage weight loss, they aren’t going anywhere. 

It’s critical for employers to understand these medications, what they’re used for, and how they’ll cover them. This is especially important because, as research on GLP-1 weight loss drugs progresses, they’ll likely be approved for new indications. Additionally, more cost-effective and convenient GLP-1s could be developed that would bring more competition.

### Communication

A benefits package is a key recruitment and retention offering, but if employers don’t do a good job at communicating available benefits, including costs and value, employees could be missing out on key benefits, and both employers and employees could spend more on healthcare costs. 

Employers should communicate clearly about when and [how to use specific benefits and the value](https://www.benefitnews.com/slideshow/7-ways-to-communicate-health-plan-value) of these benefits. This could include using healthcare vendor communications, customizing messaging, providing print communications, or offering face-to-face meetings.

### Alternate Prescription Sourcing

Coupons and copay cards can help reduce prescription costs that otherwise may not be covered, especially for medications such as GLP-1s. An additional strategy that can be used to reduce overall pharmacy spend is [Valenz Bluebook Rx](https://www.valenzhealth.com/solutions/member-experience/bluebook-rx/). This program helps members and employers save by identifying overpriced medications and suggesting lower-cost alternatives. 

Vālenz Health® recently launched an expansion of Valenz Bluebook Rx that addresses the increasing costs of GLP-1 weight loss drugs, resulting in a bundled solution that enables employers and employees alike to lower their GLP-1 medication costs.

## Improve Employee Well-Being While Managing Prescription Costs

With the right solutions, you don’t need to choose between employee well-being and managing prescription costs. You can do both with Valenz Bluebook Rx.

Unlock your savings potential by contacting one of our team members today.

### Connect with Us to Learn More

 

![Vālenz Health®](https://blog.valenzhealth.com/hs-fs/hubfs/Valenz%20Logo%20Signature.png?width=48&height=48&name=Valenz%20Logo%20Signature.png) [Vālenz Health®](https://blog.valenzhealth.com/author/valenz-health)

Vālenz Health® empowers employers, brokers, payers, and providers to reduce costs, improve quality, and elevate the healthcare experience. Our solutions combine advanced technology, clinical expertise, and extensive cost, quality, and utilization datasets to execute across the entire healthcare journey — connecting insights and action for greater transparency, flexibility, and cost containment within a complex system. By helping our customers and members navigate healthcare with confidence, we support smarter care decisions, strengthen plan performance, and deliver better value for everyone we serve.

## Related Articles

[![A woman with a chronic health condition takes medication while sitting at a desk. ](https://blog.valenzhealth.com/hubfs/Blog/AdobeStock_600720024%20(1)-1.jpeg)](https://blog.valenzhealth.com/health-conditions-driving-up-healthcare-costs)

### [The Health Conditions Driving Up Healthcare Costs — and What Employers Can Do About Them](https://blog.valenzhealth.com/health-conditions-driving-up-healthcare-costs)

For the second year in a row, healthcare costs are expected to rise by 9% for the group market in the United States, according to the latest research by PWC.

[Trista Taylor](https://blog.valenzhealth.com/author/trista-taylor) July 02, 2026

[![A female patient holding an injection.](https://blog.valenzhealth.com/hubfs/Blog/AdobeStock_717197856%20(1)-1.jpeg)](https://blog.valenzhealth.com/weighing-the-costs-how-glp-1-weight-loss-drugs-can-save-employers-money-in-the-long-run)

### [Weighing the Costs: How GLP-1 Weight Loss Drugs Can Save Employers Money in the Long Run](https://blog.valenzhealth.com/weighing-the-costs-how-glp-1-weight-loss-drugs-can-save-employers-money-in-the-long-run)

The popularity of glucagon-like peptide-1 (GLP-1) weight loss drugs is on the rise, offering transformative health benefits for those struggling with obesity. For employers, these medications present a unique opportunity to improve employee well-being while addressing the substantial financial implications of chronic health conditions.

[Vālenz Health®](https://blog.valenzhealth.com/author/valenz-health) January 30, 2025

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  "articleBody" : "The popularity of glucagon-like peptide-1 (GLP-1) weight loss drugs has skyrocketed recently, and it’s no wonder when you consider the impact these drugs can have on people’s lives. However, GLP-1 weight loss drugs also come with a large financial impact on employers, leading to them balancing the financial implications with investing in their employees’ health by covering GLP-1s. Investing in Employees’ Health: The Impacts of GLP-1 Weight Loss Drugs The benefits of GLP-1s don’t just stop with the person taking the GLP-1. They also extend to their employer. Some of the benefits of GLP-1 weight loss drugs include: Improved Health Outcomes One of the top benefits of GLP-1 weight loss drugs is improved health outcomes. GLP-1 drugs can help people lose up to 15–20% of their body weight, which helps people with type 2 diabetes or obesity manage their risk for other conditions. GLP-1s can help reduce the risk of complications from conditions such as cardiovascular disease, high blood pressure, high cholesterol, kidney failure, and more — or potentially reverse these conditions altogether. As a result, members taking GLP-1s may experience fewer hospitalizations and emergency room visits, which, in turn, can lower healthcare costs. Reduced Absenteeism By helping employees with weight management strategies such as GLP-1s, those who take these medications can better manage their risk for other conditions, which has a large impact on productivity and absenteeism. A healthier workforce can help reduce absenteeism, improve productivity, and reduce indirect costs from lost productivity due to illness. Positive Impact on Employee Quality of Life GLP-1s have a positive impact on many facets of life for employees with type 2 diabetes or obesity. By losing weight and improving their risk for other conditions, members who take these medications may experience a boost in their mental health and self-esteem, which can improve their personal outlook and social life. Plus, reducing the risk of chronic conditions can lead to financial relief from costly medications used to treat these conditions. What Employers Should Consider Even though GLP-1s have plenty of benefits for employers and employees alike, they are expensive. Annual costs for GLP-1s can exceed $11,000 per member taking the medication. Employers should weigh the up-front costs against the potential savings to determine if GLP-1s are a good fit for their health plan. Some factors to consider include: Behavioral Changes GLP-1 weight loss drugs are only effective for weight loss management when combined with other lifestyle changes, such as diet and exercise. Approximately two-thirds of people stop taking GLP-1s within a year. To set your employees up for success, it’s important to ensure they have the tools they need to succeed on their weight loss journey. To do this, employers should ensure they have a comprehensive benefits plan with health resources such as nutrition education, coaching, and exercise support. Understanding of GLP-1s GLP-1s were initially developed to treat type 2 diabetes by mimicking the GLP-1 hormone, which controls blood glucose levels and insulin. They were then found to be effective for weight management. However, with the rise in popularity of GLP-1 weight loss drugs, there’s also been a rise in myths circulating about these medications, such as that “natural semaglutide” provided by some medical spas is a cost-effective way to treat obesity. As such, there is a disparity in understanding of GLP-1s among employers and even among HR leaders. Many employers and HR leaders know about GLP-1s but may not fully understand what they’re used to treat. Understanding what they’re used for can greatly impact whether these medications are covered. Given the popularity of GLP-1s and their efficacy in treating type 2 diabetes and helping to manage weight loss, they aren’t going anywhere. It’s critical for employers to understand these medications, what they’re used for, and how they’ll cover them. This is especially important because, as research on GLP-1 weight loss drugs progresses, they’ll likely be approved for new indications. Additionally, more cost-effective and convenient GLP-1s could be developed that would bring more competition. Communication A benefits package is a key recruitment and retention offering, but if employers don’t do a good job at communicating available benefits, including costs and value, employees could be missing out on key benefits, and both employers and employees could spend more on healthcare costs. Employers should communicate clearly about when and how to use specific benefits and the value of these benefits. This could include using healthcare vendor communications, customizing messaging, providing print communications, or offering face-to-face meetings. Alternate Prescription Sourcing Coupons and copay cards can help reduce prescription costs that otherwise may not be covered, especially for medications such as GLP-1s. An additional strategy that can be used to reduce overall pharmacy spend is Valenz Bluebook Rx. This program helps members and employers save by identifying overpriced medications and suggesting lower-cost alternatives. Vālenz Health® recently launched an expansion of Valenz Bluebook Rx that addresses the increasing costs of GLP-1 weight loss drugs, resulting in a bundled solution that enables employers and employees alike to lower their GLP-1 medication costs. Improve Employee Well-Being While Managing Prescription Costs With the right solutions, you don’t need to choose between employee well-being and managing prescription costs. You can do both with Valenz Bluebook Rx. Unlock your savings potential by contacting one of our team members today. Connect with Us to Learn More",
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