GLP-1 Drugs Responsible for Over Ten Percent of Annual Claims

Published May 22, 2025

Press Release

New Survey Data Reveals Rise of GLP-1 Drug Claims, With Utilization Management and Eligibility Requirements as Leading Cost-Control Mechanisms  

 

Brookfield, Wisconsin | May 22, 2025—A new survey report from the International Foundation of Employee Benefit Plans reveals updated U.S. employer coverage and claims representation surrounding glucagon-like peptide-1 (GLP-1) drugs. The International Foundation first conducted this survey in October 2023 and again in May 2024.  

Employers indicated the following coverage for GLP-1 drugs: 

  • 55% provide coverage for diabetes only (down from 57% in 2024) 

  • 36% provide coverage for both diabetes and weight loss (up from 34% in 2024). 

Of those currently offering GLP-1 drug coverage only for diabetes, 17% are considering offering the drugs for weight loss (down from 19% in 2024). 
Percentage of Annual Claims 

The average representation of GLP-1 drugs used for weight loss in total annual claims was 10.5% for 2025, an increase over the 2024 average of 8.9% and the 2023 average of 6.9%. Twenty-seven percent of employers reported GLP-1 drug costs to be more than 15% of their annual claims. 

“This new survey data shows that over the past two years, GLP-1 claims have continued to rise, reflecting a sustained interest in these drugs as both a weight loss and diabetes treatment,” said Julie Stich, CEBS, Vice President of Content at the International Foundation. “Organizations are balancing the ongoing demand from employees for GLP-1 coverage for weight loss by continuing to explore feasibility through cost-control mechanisms.”  

Utilization Management  

Of those covering GLP-1 drugs, 78% of employers are using utilization management as a cost-control mechanism. Out of those that use utilization management as a cost-control mechanism:  

  • 96% require prior authorization  

  • 26% require reauthorization for refills 

  • 14% use a physician-led approach 

  • 5% limit prescribers by type 

  • 3% limit prescribers to a telehealth/virtual care vendor. 

Eligibility Requirements 

Eligibility requirements, used by 68% of employers covering GLP-1 drugs, continue to be heavily relied upon as a cost-control option. The most prevalent eligibility requirements include: 

  • Minimum body mass index (BMI) (88%) 

  • Obesity with one other chronic disease (60%) 

  • Obesity and type 2 diabetes (34%) 

  • Obesity with two or more other chronic diseases (24%) 

  • Nutrition/dietary requirements (24%) 

  • Physical activity requirements (9%). 

Visit www.ifebp.org/GLP2025 for more information and to view the full survey report. 

 

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About the International Foundation: The International Foundation of Employee Benefit Plans is the premier educational organization dedicated to providing the diverse employee benefits community with objective, solution-oriented education, research and information to ensure the health and financial security of plan beneficiaries worldwide. The International Foundation has more than 31,000 multiemployer, corporate and public sector members representing over 25 million lives. For additional information, visit www.ifebp.org.