GLP-1s can help employers lower medical costs in 2 years: study
GLP-1 Drugs Cut Employer Medical Costs by 44% in 2 Years: Groundbreaking Study
Table of Contents
Study Overview and Key Findings
A groundbreaking study by Aon has revealed that GLP-1 medications, including popular drugs like Wegovy, Ozempic, and Mounjaro, can significantly reduce employer medical costs within two years of implementation. The research, which analyzed data from 139,000 U.S.-based workers with employer health coverage, demonstrates unprecedented improvements in employee health outcomes and substantial reductions in healthcare spending.
Key Study Statistics
- 44% reduction in major cardiovascular issues
- 7% slower medical cost trend growth compared to non-GLP-1 users
- Significant reductions in osteoporosis and pneumonia
- Data collected from 139,000 U.S. workers between 2022-2024
Cost Benefits and ROI Timeline
While GLP-1 drugs come with a substantial upfront cost of over $1,000 per dose, the study demonstrates clear financial benefits for employers. The medical cost trend for patients taking these medications showed a remarkable improvement, with the growth rate cut approximately in half compared to those not using the drugs.
Cost Timeline Analysis
Initial costs increase during the first 12-15 months due to increased medical monitoring and treatment of underlying conditions. However, by the end of the second year, the medical cost trend for GLP-1 users was only 7%, compared to 14% for non-users with similar conditions.
Health Improvements and Outcomes
The study revealed significant improvements in various health metrics, with cardiovascular health showing the most dramatic benefits. Patients taking GLP-1 medications experienced:
| Health Outcome | Improvement |
|---|---|
| Cardiovascular Events | 40%+ reduction |
| Diabetes Onset | Significant reduction |
| Osteoporosis | Substantial improvement |
| Pneumonia | Multiple type reduction |
Implementation and Workplace Programs
Following these promising results, Aon has launched its own subsidized GLP-1 weight management program for U.S. employees. The comprehensive program includes:
Program Components
- Weekly virtual wellness visits
- Home blood testing
- Medication adherence monitoring
- Ongoing health outcome tracking
Future Implications for Employers
The study’s findings provide valuable insights for employers considering GLP-1 coverage in their health benefits packages. Greg Case, CEO of Aon, emphasizes that these medications can be implemented with a clear return on investment, making them a viable option for companies looking to improve employee health while managing healthcare costs.
Implementation Recommendations
Employers should consider a phased approach to GLP-1 implementation, starting with high-risk populations and expanding based on demonstrated outcomes. Regular monitoring and comprehensive support programs can help maximize the benefits while managing costs effectively.
As the demand for GLP-1 medications continues to grow, this research provides crucial evidence for employers weighing the costs and benefits of coverage. The demonstrated improvements in both health outcomes and long-term cost reduction suggest that these medications could play a pivotal role in the future of workplace healthcare management.
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