Denmark Prioritizes Affordable Drugs for Type 2 Diabetes, Scaling Back Use of Costly GLP-1 Drugs

Denmark’s healthcare authority has announced a shift in its prescription policy for type 2 diabetes patients, prioritizing less expensive drug options. This decision will affect the prescription of costlier GLP-1 drugs, including Novo Nordisk’s Ozempic, which has gained popularity due to its weight-loss effects.

The Danish Medicines Agency stated that starting from November 25th, patients will be prescribed more affordable medications before resorting to GLP-1 drugs. The agency’s data revealed that in 2023, half of all newly diagnosed type 2 diabetes patients in Denmark began their treatment with a reimbursed GLP-1 drug without first trying a cheaper alternative.

The agency believes that the less expensive alternatives are comparable in effectiveness to GLP-1 drugs and expects nearly half of the current GLP-1 drug users to switch to these more affordable options. However, the agency emphasized that patients who require GLP-1 drugs will continue to receive reimbursement for their prescriptions if the less expensive alternatives prove insufficient.

This decision has implications for pharmaceutical companies such as Novo Nordisk, Eli Lilly, and others that produce GLP-1 drugs. The move aligns with growing concerns about the high cost of these medications and their potential misuse for weight loss. Senator Bernie Sanders has been critical of the ‘outrageous’ prices of drugs like Ozempic, while the surge in prescriptions for weight-loss purposes has led to shortages in some regions.

The Danish Medicines Agency’s decision is expected to impact the sales of GLP-1 drugs in Denmark and potentially influence other countries’ healthcare policies related to diabetes management. It underscores the ongoing debate about the balance between affordability, effectiveness, and the appropriate use of medications in healthcare systems.

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