is planning to cover the GLP-1 weight loss drugs sponsored by Eli Lilly and Novo Nordisk A/S starting in 2026 as a pilot program.

The Trump administration is planning to launch a five-year pilot program to reimburse the cost of weight loss medications for some participants in medical insurance and subsidy plans. This news has driven up the pre-market stock prices of weight loss drug manufacturers Eli Lilly and Company (LLY.US) and Novo Nordisk A/S Sponsored ADR Class B (NVO.US) on Friday. According to documents disclosed by the Centers for Medicare and Medicaid Services (CMS), Medicaid plans and Medicare Part D plans in various states can voluntarily choose to include Novo Nordisk A/S Sponsored ADR Class B's Ozempic and Wegovy, as well as Eli Lilly's Mounjaro and Zepbound under insurance coverage. The pilot program aims to alleviate public concerns about the affordability of popular GLP-1 drugs (which have both diabetes and weight loss effects). In terms of industry trends, the indications for GLP-1 drugs continue to expand. For example, the Food and Drug Administration (FDA) has approved Novo Nordisk A/S Sponsored ADR Class B's Wegovy for reducing cardiovascular disease risk, and Eli Lilly is further exploring the potential of tirzepatide in new areas such as treating sleep apnea. Although the policy pilot has not yet been finalized, the expansion of insurance coverage is seen as a key variable in changing the market landscape. The program will be specifically implemented by the Center for Medicare and Medicaid Innovation (CMMI) under CMS, with Medicaid plan coverage expected to start in April 2026 and Medicare plan coverage scheduled to follow in January 2027. When asked about project details, a CMS spokesperson stated, "All drugs covered by insurance must undergo cost-benefit assessments, and CMS does not currently comment on potential models or coverage scope." It should be noted that the proposal has not completed the final approval process. According to the process, CMS may (but is not required to) further refine the project plans through public consultation before formal implementation. While the pilot project initiated by the Trump administration aims to lower drug prices, uncertainties remain due to limited coverage and complex intermediary processes.