Advocacy for Wegovy: Denmark Signals Cost-Sharing Talks While Novo Spent Millions On Medical Community For Drug Promotion

Denmark's Health Minister, Sophie Lohde, has signaled the government's willingness to expand coverage for Novo Nordisk A/S's NVO weight-loss drug Wegovy if the company shares some of the financial burden. 

Novo Nordisk aims to persuade European governments, historically treating weight-loss drugs as lifestyle medications, to subsidize Wegovy for those in need or facing financial constraints. 

In Denmark, an existing risk-sharing program reimburses the drug's cost for a specified number of severe obesity cases. 

Lohde mentioned that any excess prescriptions beyond the agreed limit would entail cost-sharing between Novo Nordisk and the state.

The Danish Medicines Agency is reviewing Novo's reimbursement application for Wegovy. 

Despite the drug's potential, Denmark's largest private health insurer has decided to cease reimbursement for weight loss medication from January 2024 due to high demand. 

Presently, Danish patients pay DKK 1,300-2,300 ($189-$335) per month for Wegovy.

In August, the Danish health ministry said that reimbursing Wegovy for the roughly 900,000 Danes with a BMI of 30 or above would cost DKK23.9-27.9 billion each year.

Separately, Dr. Lee Kaplan, a notable figure in obesity medicine at Dartmouth College's medical school, has been advocating for a shift towards a new era of weight-loss medications, including Wegovy. 

According to the Reuters analysis, Novo Nordisk has significantly funded physicians like Dr. Kaplan, with expenditures totaling $1.4 million for consulting and travel between 2013 and 2022. 

The company's expenditures have exceeded $25.8 million over the past decade, primarily aimed at promoting its obesity drugs, Wegovy and Saxenda. 

At least 57 physicians received a minimum of $100,000 each from Novo Nordisk linked to these drugs.

In response, Novo Nordisk defended its collaborations with medical professionals, asserting that their engagement transcends mere drug marketing. 

They highlighted the educational aspects, including courses such as Kaplan's, contributing $10,000 towards his recent course, which often assists doctors in meeting certification requirements in obesity medicine.

Also, of 109 authors and reviewers, 53 received payments from companies involved in obesity drug sales or development, with Novo Nordisk accounting for $8 million of the $12.4 million in payments among these individuals, excluding research-related payments.

Price Action: NVO shares are down 1.20% at $100.62 on the last check Friday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.