Drug maker Novo-Nordisk announced that it will drop the sticker prices for its popular GLP-1 drugs Ozempic, Wegovy, and Rybelsus, effective January 1, 2027. They will all be priced at $675, representing a 34% drop for Ozempic and Rybelsus, and 50% drop for Wegovy. As with other drugs whose sticker prices have dropped significantly in recent years, these reductions will have two key consequences for 340B programs:
- Once the sticker price drops in January 2027, insurance companies will reduce their reimbursement for these drugs, which decreases the 340B savings available.
- Two quarters later (July 2027), the 340B ceiling price will increase, further eroding 340B savings. For these three drugs, the ceiling price will rise to $519, yielding only $160 in savings. (The $519 price reflects the standard 23% discount off the sticker price for a brand name drug. There will no longer be additional discounts to penalize manufacturers for raising prices faster than inflation.)