As Employers Pull Back on GLP-1s, Andel and Novo Offer a Workaround
Source · The American Journal of Managed Care® (AJMC®)
TLDR
AJMC reports that Andel and Novo Nordisk announced a collaboration allowing employers to contribute toward employees’ semaglutide costs outside insurance. The arrangement comes as a WTW survey found that 53% of employers cover GLP-1 drugs for weight loss, down from 57% in 2025.
- 01The companies say the arrangement covers injectable and oral semaglutide, with employers choosing their contribution.
- 02WTW found that 16% of employers currently cover these drugs but are considering removing coverage, up from 9% last year.
- 03Andel describes its program as a noninsurance model that lets employers reimburse part of employees’ out-of-pocket costs.
Why it matters Editorial
The collaboration illustrates a shift toward employer subsidies outside traditional insurance as companies narrow GLP-1 weight-loss coverage amid rising benefit costs.
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