### Eli Lilly’s Zepbound Pricing: A Two-Faced Sword in the Battle Against Obesity
Pharmaceutical powerhouse Eli Lilly has captured attention with its declaration of a notable price cut for its well-known weight-loss medication, tirzepatide, sold under the name Zepbound. The organization unveiled a fresh vial format for the drug, presenting starting dosages at a significantly reduced price compared to the previously offered injectable pens. Although this initiative was initially well-received, it soon faced backlash as observers pointed out a concurrent increase in the price of the existing pen format, prompting concerns about the company’s pricing tactics and their consequences for patients.
#### The Potential of Zepbound
Zepbound has proven to be revolutionary in combating obesity, an issue impacting millions globally. The injectable medication mimics the function of hormones that manage blood sugar and appetite, resulting in marked weight loss. Clinical studies indicated that patients given the maximum dose of 15 mg lost an average of 21% of their body weight over 17 months, while those receiving a 5 mg dose shed approximately 15% of their weight.
Until recently, Zepbound was exclusively available in injectable pens, priced at $1,060 for a month’s supply. The pens are offered in various dosages—2.5 mg, 5 mg, 7.5 mg, 10 mg, 12.5 mg, and 15 mg—allowing patients to gradually raise their dosage until reaching a maintenance level. Higher dosages correlate with more substantial weight loss, making the drug a highly desirable choice for individuals facing obesity challenges.
#### A Welcome Price Reduction
In an effort that appeared to alleviate the financial strain on patients, Eli Lilly revealed it would now supply Zepbound in vials, at a substantially lower cost. A month’s supply of the 2.5 mg vial is set at $399, while the 5 mg vial is priced at $549. This marks a considerable decrease from the $1,060 cost for the pen form, enhancing accessibility for a wider array of patients, particularly those lacking insurance.
“This new option enables millions of adults with obesity to access the necessary medication,” Lilly asserted in its announcement. The company also received commendations from James Zervos, Chief Operating Officer of the nonprofit Obesity Action Coalition, who praised Lilly for advancing equitable care.
Even President Joe Biden took to social media to recognize the price cut, voicing his approval while calling on pharmaceutical firms to reduce prices “across the board.”
#### The Controversy: An Increase for the Pens
Nevertheless, the initial enthusiasm was short-lived. Concurrent with the launch of the lower-priced vials, Lilly discreetly raised the price of the Zepbound pens for patients whose insurance policies do not cover the medication. Previously, these individuals could utilize a “savings card” to buy a month’s supply of any dosage for $550. This cost has now escalated to $650, nearly a 20% increase.
This price lift has incited anger among critics, who contend that the company is taking advantage of its market position. Senator Bernie Sanders (I-Vt.), a longstanding critic of the pharmaceutical sector, swiftly condemned the decision. While he recognized that the vial prices represent a “modest step forward,” he noted that even with the reduction, the drug remains out of reach for many Americans. At $549 a month, the expense is comparable to the average monthly payment for a used car, which was $523 in the first quarter of this year, per Experian.
“Moreover, Eli Lilly continues to refuse to lower the exorbitant price of Mounjaro that Americans battling diabetes urgently require,” Sanders remarked, referring to another of the company’s medications. “There is no logical explanation, other than greed, for why Mounjaro should cost $1,069 a month in the U.S. when it is only $485 in the U.K. and $94 in Japan.”
#### The Wider Consequences
The controversies surrounding Zepbound’s pricing form part of a larger conversation regarding healthcare costs in the U.S. In May, a Senate committee report cautioned that the steep prices and high demand for weight-loss and diabetes treatments like Zepbound could potentially “bankrupt our entire health care system.” This report, generated by the Senate’s Health, Education, Labor, and Pensions (HELP) committee, chaired by Sanders, underscored the pressing need for pricing reforms within the pharmaceutical industry.
Eli Lilly’s choice to lower the price of Zepbound vials while hiking the cost of the pens raises significant inquiries about the company’s intentions and the broader drug pricing dilemma in the United States. While the new vial format may increase access for some patients, the price rise for the pens could render it unaffordable for others.
