The announcement comes a day after the Senate confirmed that Dr. Mehmet Oz is the head of the Centers for Medicare and Medicaid Services.
The Centers for Medicare and Medicaid Services (CMS) announced on April 4 that it would not begin covering anti-obesity drugs for beneficiaries.
The decision was reflected in the final ruling released on the same day, seeking to modernize and improve Medicare advantages, Medicare prescription drug benefits (part D), Medicare cost planning, and comprehensive care programs for seniors.
It stated that without further elaboration, it would not be determined to establish Part D coverage of anti-obesity drugs (AOMS).
In November 2024, the Biden administration proposed rules covering weight loss drugs such as Wegovy and Zepbound for two healthcare services, expanding access to around 4 million Medicaid users and 3.4 million Medicare users.
Elderly low-income Americans with a body mass index of 30 or higher were eligible under the rules. Taxpayers were expected to cost $35 billion over the next decade, but Congress members on both sides of the aisle said they could ultimately save billions of dollars in treating obesity-related chronic diseases.
The rules were not expected to be completed until President Donald Trump took office.
Weight loss drugs like Wegovy and Zepbound are GLP-1 drugs and are already covered in Medicare if prescribed for the need to reduce the risk of diabetes, heart disease, or stroke. However, a law passed in 2003 prohibits Medicare from directly covering drugs to lose weight.
A CMS spokesperson told the Epoch Times in an email that the agency “doesn’t think it is currently appropriate to complete a proposal to expand AOMS coverage for the treatment of Medicare Part D and Medicaid obesity.”
“The CMS may consider future policy options as it holds further reviews of both the potential benefits of these drugs, including updated clinical indications, and further reviews of both related costs, including financial impacts on stakeholders such as state Medicaid agencies.”
The ruling comes the day after the Senate voted for Dr. Mehmet Oz to run the Centers for Medicare and Medicaid Services in a 53-45 partisan vote.
“We have a generational opportunity to fix our healthcare system and help people stay healthy for longer,” Oz said in his opening remarks on March 14th before a Senate confirmation hearing.
Medicare and Medicaid manage health coverage for over 160 million people, spending one in five people on taxpayer dollars through Medicare, Medicaid, Children’s Health Insurance Programs and the health insurance market. Republican lawmakers hope Oz will work to improve this system.
Lawrence Wilson and the Associated Press contributed to this report.