INDIANAPOLIS, Ind. (WOWO) — Indiana Medicaid will soon begin covering GLP-1 medications for obesity after Gov. Mike Braun directed the state to participate in a new federal initiative designed to make the treatments more affordable.
The Indiana Family and Social Services Administration, which oversees Medicaid benefits for about 1.9 million Hoosiers, will join the federal BALANCE model, a program aimed at reducing the cost of GLP-1 medications for state Medicaid programs and patients.
The Centers for Medicare & Medicaid Innovation Center developed the initiative in partnership with pharmaceutical manufacturers, including Eli Lilly and Novo Nordisk, to expand access to obesity medications while lowering costs.
Under the program, Indiana Medicaid will pay $85.16 per month toward treatment costs. The remaining cost of the medication, listed at $245 per month per person, will be covered through federal contributions and manufacturer discounts.
Drug manufacturers have also agreed to provide lifestyle support services as part of the initiative.
“Indiana is proud to expand access to essential treatment for eligible Hoosiers,” Braun said in a news release announcing the move. “This agreement reflects our commitment to Make Indiana Healthy Again by pursuing practical solutions that increase healthier lives.”
State officials have not yet released specific eligibility requirements or a timeline for when coverage will begin because the agreement is still being finalized.
The governor’s office said expanding access to obesity treatments could help some Hoosiers improve their health, remain in the workforce or return to employment, while potentially reducing reliance on public assistance programs.
Obesity is considered a chronic health condition and has been linked to increased risks for conditions including diabetes, heart disease and other serious health problems according to the Indiana Capital Chronicle.
David A. Ricks, chair and chief executive officer of Eli Lilly, said expanding access to obesity medications could have significant health and economic impacts in Indiana.
“Obesity is a serious, chronic disease, and addressing it can open the door to better health,” Ricks said in the release.
Ricks said about 71% of Indiana adults are living with obesity or overweight and estimated the impact costs the state’s economy about $10.7 billion annually.
“Indiana opting into the BALANCE model is a meaningful step forward,” Ricks said, adding that the program could help eligible Medicaid patients access newer obesity treatments.
GLP-1 medications have grown rapidly in popularity in recent years. The drugs, which include treatments originally developed for diabetes management, work by affecting hormones involved in appetite, blood sugar regulation and digestion.
Health experts have emphasized that medication is most effective when combined with long-term lifestyle changes, including nutrition, physical activity and ongoing medical care.
Indiana joins a growing number of states exploring ways to provide Medicaid coverage for GLP-1 medications as demand for the treatments continues to increase and policymakers weigh the costs and benefits of expanding access.
