Starbucks is ending GLP-1 coverage for weight loss as employer costs climb
Starbucks will stop covering GLP-1 weight-loss drugs for eligible employees starting in October due to rising healthcare costs. While the drugs remain covered for diabetes, the company joins other employers in limiting access to these expensive medications.
Why it matters
The decision reflects a growing trend of corporations scaling back expensive health benefits as the popularity and cost of weight-loss medications surge.
Marcin Golba/NurPhoto via Getty Images In October, Starbucks will stop covering GLP-1 drugs prescribed for weight loss for benefits-eligible employees. The move comes as GLP-1 drugs consume a growing share of employers' healthcare spending. While some employers retreat from coverage, Bank of America is spending heavily to keep the benefit. Starbucks is pulling back coverage for weight-loss drugs , a reversal that comes as employers' spending on popular GLP-1 medicines soars. Starting in October, the Seattle-based coffee chain's health plans will no longer cover GLP-1 medications prescribed for weight loss for benefits-eligible employees, though the drugs may still be covered for other conditions. Starbucks offers health benefits to full- and part-time employees who work at least 20 hours a week. A spokesperson for Starbucks confirmed the decision, which hasn't previously been reported, and declined to comment further.
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