America’s employers will evaluate their health plans, partnerships and vendors more closely this year as they try to create value, achieve higher quality and procure cost-effective services.

This will extend to high-focus areas like mental health, the rising costs of cancer care and drug prices, notes the 2024 Large Employer Health Care Strategy Survey from the Business Group on Health.

As the popularity of GLP-1 drugs like Ozempic and Wegovy grows, so does the percentage of employers covering the drugs for employees.

A new employer survey out June 13 from the International Foundation of Employee Benefit Plans (IFEBP) found that employer coverage of the drugs is up 8 percentage points since last fall,

The high cost of GLP-1 (glucagon-like peptide 1) drugs is straining employer healthcare budgets as they are increasingly used for treating obesity. With several more GLP-1 drugs expected to hit the market by 2026, costs for employer health plans are likely to continue to rise. Employers are considering various coverage and management strategies for GLP-1 drugs, such as prior authorization, limiting coverage to certain individuals and setting higher cost-sharing requirements. But the increasing use of these drugs raises several challenges and questions for employers.