How Ozempic and other weight loss drugs can upend health insurance marketing

In less than two years, Ozempic, Wegovy and other GLP-1 drugs now commonly used for weight loss have infiltrated wellness circles, health care discussions and pop culture, even earning mentions on programs such as “Saturday Night Live” and “South Park.” Delivery service Gopuff recently received backlash for promoting “Ozemic Week” as a marketing stunt. But as Ozempic’s popularity has grown, experts have speculated about the effect the medication might have on various industries. A new report from Horizon Media examines how Ozempic and similar medications might impact the health insurance industry as the drugs’ use becomes more widespread. “The interest levels and awareness in these drugs has been climbing rapidly,” said Miriam Browning-Nance, VP at Why Group, Horizon’s center of intelligence, noting that 56% of adults interviewed by Horizon were somewhat interested in the medications. “We’ve never seen a drug quite as pop culture-connected.” 40 under 40 entries are open The final deadline for nominations is Aug. 2 Enter here That popularity is challenging consumers’ perceptions of and dependence on insurers. In its report, titled “Injecting Change: Weighing the Future of Insurance in the Age of Ozempic,” Horizon found that 37% of consumers interested in GLP-1 drugs have considered switching insurance providers in the past year, an increase over the 30% of the overall population who have considered a switch. In addition, 47% of 18-to-24 year olds who are interested in the medications said they would consider leaving traditional insurance altogether in order to gain access to GLP-1 drugs. The survey, which was conducted in April, was issued to 1,000 U.S. consumers of varying ages, genders, regions and incomes. Browning-Nance noted that some consumers were willing to “buy up” or pay more for coverage from their insurance providers in order to obtain the drugs, while others considered leaving insurance altogether in order to save money to buy the drugs elsewhere, like at a compounding pharmacy that sells custom-made meds. More than 40% of younger people interested in the drugs said they would even consider switching jobs to an employer with insurance that offers coverage. “About half of the population who was interested was willing to take a lot of different actions to get these drugs that are not offered through their traditional insurance path,” said Browning-Nance. As consumers rethink their expectations, health insurance brands will need to focus their marketing on educating and informing, she added. This may include partnerships with influential medical professionals and doctors and communicating healthy weight loss alternatives to Ozempic such as diet and exercise. “Every touchpoint of communication is an opportunity here,” said Browning-Nance, noting that most insurance companies offer coverage for the drugs but for diabetes or other health situations rather than only weight loss. “Make sure the call centers are trained to answer people’s questions about this and help them navigate it.” She expects insurers will continue to do research and target those customers thinking of leaving or seeking coverage elsewhere. Horizon is planning additional reports looking at how such GLP-1s are affecting the vitamin and supplement industry and travel, for example, later this year.

How Ozempic and other weight loss drugs can upend health insurance marketing

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