Eli Lilly and Company saw its stock move up about 1% in pre-market trading Thursday following an announcement from CVS Caremark that it will add Zepbound to the company’s preferred drug list.
CVS Caremark’s decision means that all three of the country’s largest pharmacy benefit managers will now include Lilly’s entire obesity medication lineup in their formularies. The company outlined a phased timetable for coverage: CVS Caremark Commercial Template coverage for Foundayo begins on June 1, while existing Zepbound patients will remain covered and will gain broader access across template plans by October 1.
Cost-sharing details were provided for insured patients. For those with eligible commercial coverage, both drugs can be accessed for as little as $25 per month. Medicare Part D recipients may qualify for a $50 per month cost through the Medicare GLP-1 Bridge program beginning July 1, subject to program eligibility.
The company noted product characteristics that distinguish the two medicines. Foundayo is described as the only once-daily GLP-1 pill for weight management that can be taken at any time of day without restrictions on food or water. Zepbound is identified as the most-prescribed injectable weight management medicine in the United States.
"For too long, effective obesity treatment has been out of reach for the people who need it," said Ilya Yuffa, executive vice president and president of Lilly USA and global customer capabilities.
CVS Caremark’s action reverses a prior exclusion of Zepbound from its preferred drug list and materially expands coverage for Lilly’s obesity treatments among insured Americans. The move increases the potential for broader patient access under commercial templates and through Medicare Part D bridging, but it follows a phased schedule that staggers availability between products and patient groups.
Context and implications
- All three major pharmacy benefit managers will now cover Lilly’s full obesity medicine portfolio, placing the medicines on preferred lists and extending access to more insured patients.
- Coverage rollout is staggered by product and insurance type: Foundayo coverage under CVS templates starts June 1; broader Zepbound template access for current patients is set for October 1; Medicare GLP-1 Bridge pricing for eligible Part D beneficiaries may begin July 1.
- Out-of-pocket costs cited in the announcement are as low as $25 per month for eligible commercial patients and potentially $50 per month for eligible Medicare Part D beneficiaries under the specified program.