Once Ozempic's exclusivity ends, drug manufacturers could sell generic versions for less than $100 per month, Sen. Bernie Sanders said Sept. 17. Before insurance, the brand-name drug costs $969 per month in the U.S.
At a meeting he hosted, Mr. Sanders said CEOs of major generic drugmakers told him their companies — which supply hundreds of millions of prescriptions for tens of millions of Americans — can sell the medicine for less than 10% of the current price.
Semaglutide is the active pharmaceutical ingredient of Wegovy, a weight loss drug, and Ozempic, a Type 2 diabetes medication. Novo Nordisk is expected to lose its exclusivity on semaglutide in 2031, according to one study; compounded versions are already available in the U.S. because FDA allows drugs in shortage to be compounded.
On Sept. 24, a Senate committee chaired by Mr. Sanders will hold a hearing on Novo Nordisk's list prices for Wegovy and Ozempic. He said the current costs are "outrageous."
Novo Nordisk told Becker's the net price of Ozempic has fallen 40% since launching in the U.S., more than 99% of commercial plans cover Ozempic, and 80% of insured Americans pay $25 or less each month.
"Unfortunately, even when we lower our prices, too often patients in the United States don't receive the savings — this is a problem," the company said. "We appreciate that it is frustrating that each country has its own healthcare system, but making isolated and limited comparisons ignores this fundamental fact. What remains constant is the indisputable value and cost savings Novo Nordisk medicines bring to patients, healthcare systems and society."
Novo Nordisk scientists deserve credit for developing these drugs, Mr. Sanders said, "but, as important and groundbreaking as these drugs may be, they will not do any good for the millions of people who cannot afford them. A drug, no matter how great it may be, does not mean a thing if you cannot afford to buy the product."
Other things to know about Ozempic and Wegovy costs:
- Earlier this year, researchers at Yale University, King's College Hospital in London, and Boston-based Harvard Medical School found that semaglutide could be manufactured for less than $5 per month.
- The drugs are 10 to 15 times cheaper in similar countries to the U.S., according to the Senate Committee on Health, Education, Labor and Pensions.
- Lars Fruergaard Jørgensen, CEO of Novo Nordisk, has previously said Wegovy could eventually lower healthcare costs because, as the drugs help people lose weight, employers and employees might see reduced medical costs, disability payments, workers' compensation and absenteeism.