Core Insights - President Donald Trump announced landmark agreements with Eli Lilly and Novo Nordisk to improve access to obesity drugs, potentially transforming the market for GLP-1 medications [1][4] Group 1: Coverage Expansion - Medicare will begin covering GLP-1s for obesity for certain patients starting mid-2026, which could increase access for millions of older adults [2] - The agreements may encourage more employers and private insurers to provide coverage for obesity drugs, addressing the current limited access due to high costs [2][4] - Approximately 8 to 9 million people in the U.S. currently use GLP-1s, and the new Medicare coverage could add up to 40 million new eligible patients [5] Group 2: Pricing and Accessibility - Eli Lilly and Novo Nordisk are reducing the prices that state Medicaid programs will pay for GLP-1s, although state participation is voluntary [2][3] - The monthly out-of-pocket costs for existing injections and upcoming pills could range from $50 to $350, depending on dosage and insurance coverage [6] - The agreements aim to provide discounted access to obesity treatments through a direct-to-consumer website, TrumpRx.gov [6] Group 3: Legislative Considerations - Current law prohibits Medicare from covering weight loss drugs, necessitating changes from Congress for broader coverage [7] - An initial pilot program will be launched in spring 2026 under a temporary legal mechanism, with expectations for broad participation from Medicare prescription drug plans [7][8] - The pilot program is set to transition into a mandatory program for all Medicare Part D plans by 2027, ensuring comprehensive coverage [8]