Impacted: Health plan markets, national accounts and mid-market book of business clients (commercial)

What you need to know

On Feb. 24, Novo Nordisk announced significant price reductions for its glucagon-like-peptide-1 agonist medications (GLP-1) products, effective Jan. 1, 2027. While these changes are expected to lower member cost share for some plan designs, they will also reduce rebates tied to wholesale acquisition cost (WAC).

Prime is actively evaluating the implications and will continue to keep clients informed as more details become available.

Overview

Novo Nordisk recently announced it will consolidate pricing across its semaglutide portfolio and reduce list prices for Wegovy, Ozempic and Rybelsus, effective Jan. 1, 2027. This announcement follows the launch of TrumpRx pricing earlier this month and confirmation that Novo’s semaglutide products will be subject to Medicare negotiation in 2027.

Under the new structure, Novo will move to a single WAC price point of $675 across its semaglutide products — representing an approximate 50% price reduction for Wegovy and a 34% reduction for Ozempic and Rybelsus.

Reference: Novo Nordisk GLP‑1 pricing changes (effective Jan. 1, 2027)

Drug name

Current WAC

New WAC (Jan. 1, 2027)

Price decrease

TrumpRx. gov price

Medicare MFP*

Ozempic pen

$1,027.51

$675.00

34%

$499.00

$267–$277

Rybelsus tablet

$1,027.51

$675.00

34%

N/A

$277.00

Wegovy pen

$1,349.02

$675.00

50%

$349.00

$386.00

Wegovy tablet

$1,349.02

$675.00

50%

$299.00

$386.00

*Medicare Maximum Fair Price (MFP) estimates are based on CMS NDC level files. Actual MFPs vary by NDC, particularly for Ozempic products.

These changes are expected to:

• Lower out-of-pocket costs for members enrolled in coinsurance based plans or high deductible health plans.
• Reduce rebate amounts, as rebates are typically tied to WAC and weighted average cost calculations.
• Place continued pressure on traditional pharmacy benefit manager (PBM) pricing and rebate models.

Based on prior market experience, decreases in WAC have generally resulted in net costs remaining at least neutral for clients, with existing administrative services only (ASO) contract protections helping to mitigate financial impact.

At this time, Eli Lilly has not announced similar pricing changes, though broader market trends suggest additional manufacturer actions may occur ahead of 2027.

Prime’s position/next steps

Prime is closely monitoring this development and actively engaging with manufacturers to better understand the implications for clients. Our teams are conducting ongoing scenario planning and financial modeling to assess potential 2027 impacts across different benefit designs and client segments.

Consistent with our approach, Prime will focus on:

• Helping drive lowest net cost options and strategies to clients. 
• Leveraging existing contractual protections to help safeguard client outcomes.
• Keeping clients informed through established communication channels including client forums, webcasts and regular communications as additional details become available.

Questions

Please contact your Prime account team representative.