The GLP-1 revolution: What it means for employers, employees, and healthcare costs

One of the biggest topics in healthcare (and even pop culture!) today revolves around diabetes prevention and weight management. Specifically, GLP-1s, aka semaglutide like Ozempic or Wegovy.

GLP-1s have captured the interest of the public from headlines and social media, promising significant weight loss and, for employers, healthcare savings.

With many conversations circulating around the potential benefits of these drugs, it’s important to note the flags being raised regarding accessibility, costs, and side effects as their usage rapidly expands.

Let’s take a second to level set. Did you know???

• Obesity affects 1 in 3 U.S. adults, with $147 billion spent annually on obesity-related healthcare?
• The global GLP-1 market is rapidly increasing and predicted to grow to $100B by 2030 —with some saying that is a conservative prediction?
• 43% of employers planned to offer coverage in 2024, nearly double the rate from the year prior?
• About 1 in 8 U.S. adults (12%) report they have taken a GLP-1 medication?

It’s clear that GLP-1s are a big part of a lot of people’s unique health stories today and will be tomorrow.

In this special edition of our monthly newsletter, we’re breaking down the topic of GLP-1s to dive into:?

1. The silent driver behind escalating healthcare costs??
2. GLP-1s of today and tomorrow?
3. How to pair these drugs with lifestyle changes, coaching and technology for better health?
4. And why organizations need to take a member-centric approach to ensure their population receives personalized health support and resources??

You ready? Let’s jump in. ? ?

Better health starts here.??

The silent driver behind rising healthcare costs?

Organizations across the country are feeling the pain of skyrocketing healthcare expenses—premiums, deductibles, and out-of-pocket costs—but what often goes unnoticed is one of the silent yet costly forces driving this crisis: obesity.??

By 2030, the OECD projects that the obesity rate in the U.S. will surpass 45%. Now that’s an alarming number.?

But obesity’s impact extends far beyond weight gain. It’s a door that leads to a wide range of chronic conditions, including type 2 diabetes, heart disease, cancer, and high blood pressure.?

Obesity has a significant impact on health outcomes and GLP-1s have the potential to lighten the strain on consumers, employers, health plans, and health systems alike. ? ?

GLP-1s of today and tomorrow?

What exactly are GLP-1s?

GLP-1s are a class of medications that mimic the effects of the naturally occurring GLP-1 hormone in the body. This hormone plays a crucial role in regulating the body’s natural processes to regulate blood sugar levels, appetite, and metabolism.

For weight loss, these medications send signals that your body is full and satiated, as well as slowing down the absorption of food while increasing the release of Insulin from the pancreas. These effects lead to a decrease in the sensation of hunger, reduced calorie intake, better blood sugar levels and subsequent weight loss.??

Typically, this is a quick hormone release in our body that lets us know that we’re full. However, in the last 20-30 years, scientists have created versions that last much longer, 6 hours, 1 week, even up to 1 month. Essentially, people are losing significant weight from feeling fuller longer and cutting back their appetite.?

However, GLP-1s are arguably more than just a weight loss drug. GLP-1s are:??

1. A potential new treatment across other categories. New research suggests that GLP-1s may be repurposed into other categories to help with conditions where chronic inflammation is a key cause. GLP-1s stimulate the mitochondria, the powerhouse of the cell, to work more effectively. There is potential that GLP-1s can help treat underlying inflammation to either decrease the development or reverse the condition by stopping inflammation in its tracks. ?
2. A leading sign of healthcare consumerism. GLP-1s are a true sign of consumer-driven healthcare. Think – “I see it. I like it. I want it. I got it.” This is something on the market that people have seen clear value in for their health, and they are willing to take the jump and try it for themselves.??

If you find yourself asking, “Should our organization invest in GLP-1s for employee weight loss?”, there are a few things to consider…?

• GLP-1s are everywhere right now
• New potential medical indications mean that they are not going anywhere anytime soon?
• Potential costs in the short and long term (whether you do or opt not to cover GLP-1s for employees)?

To help you answer this question, download our new guide: Everything employers need to know before adding GLP-1s to their benefits package .??

The importance of lifestyle changes?

Let’s be clear: There’s no such thing as a magic pill, or in this case, injection.??

We know this in theory, but we often get swept up in the promises of GLP-1s. And while the headlines and quick results are captivating, they can often be misleading.??

What people need is to create sustained behavioral change.??

Everyone is on their unique journey of managing their health. And they are looking for something (support, resources, guidance) to ease that burden.?

A drug alone does not address the emotional or mental health issues related to obesity, nor does it stimulate the behavior change necessary to improve chronic conditions and whole-person health long term.??

However, GLP-1s can be a catalyst for change when combined with a holistic support system that combines human and digital touch.

How to prescribe a personalized, member-centric approach?

Consumers today are changing the way they think about healthcare needs. There is a growing demand for personalized support that caters to individual needs and preferences. And this shift is driven by several factors, including increased diversity of the workforce, advancements in technology, and a greater emphasis of preventive care.?

Because of this, it’s critical that organizations provide their people with a tailored health experience that includes support for behavior change and lifestyle habits—either complementary to the drug or instead of it.

And your people also want to know they’re not alone on their health journey. Coaching and lifestyle support are essential for creating sustainable, life-long changes. And it’s key to take a wider picture of health into view, not just focusing on immediate results.

It's all about integrating medication with lifestyle and coaching to move the paradigm of health from treatment to prevention.??

In short, the future of weight management programs comes down to:?

1. Integrating medication and lifestyle coaching?
2. Leveraging technology (and AI) for personalized support

The one thing employers need to know?

We recently hosted a LinkedIn Live on the topic of GLP-1s and what they mean for employers today with our Personify Health experts Jeff Jacques, MD , Chief Medical Officer, and Dr David Batman MSc. MB. ChB. FFOM , Science Advisory Board Member.?

The #1 takeaway from the session? Healthy, resilient organizations need healthy, resilient employees. Because when you invest in your people, they’ll invest in you.?