Starbucks ends insurance coverage for GLP-1 weight loss drugs

Starbucks has announced it will stop covering GLP-1 medications prescribed specifically for weight loss for its benefits-eligible employees, starting in October. While the company will continue to cover these drugs for other medical conditions, such as diabetes, the decision aims to manage rising corporate healthcare costs.

This shift reflects a broader trend among major U.S. employers. Due to the soaring demand and high costs of GLP-1 drugs, companies like Allina Health and PwC have also reportedly limited or ended coverage for weight-loss purposes. According to data from the International Foundation of Employee Benefit Plans, GLP-1 drugs accounted for 11.4% of total annual corporate claims last year, up from 6.9% in 2023.