Pharmaceutical giant Eli Lilly drew praise this week with the announcement that it was now selling entry-level doses of its popular weight-loss drug tirzepatide (Zepbound) at a significantly lower price than before. But the celebrations were short-lived, as critics quickly noted that Lilly had also quietly raised the price of current versions of the drug – a move conspicuously absent from the company's press release this week.
In the past, Lilly sold Zepbound only in injection pens, with a list price of $1,060 for a month's supply. Different dosages are available — 2.5 mg, 5 mg, 7.5 mg, 10 mg, 12.5 mg or 15 mg — and patients gradually increase their dose until they reach a maintenance dose. Recommended maintenance doses are 5 mg, 10 mg or 15 mg. The higher the dose, the greater the weight loss. For example, in a clinical trial, people taking the 15 mg dose lost an average of 21 percent of their weight over 17 months, while people taking the 5 mg dose lost an average of only 15 percent of their weight.
On Tuesday, Lilly announced it will now sell Zepbound in vials. A month's supply of vials containing 2.5 mg doses will cost $399, while a month's supply of 5 mg doses will cost $549 – a welcome price reduction from the $1,060 price tag. These prices are self-pay, meaning patients with a valid prescription can buy the drug directly from Lilly if they are uninsured or if insurance does not cover the drug.
“This new option will help millions of adults with obesity get access to the medicines they need,” Lilly said in announcing the vials and their pricing.
The company also quoted James Zervos, chief operating officer of the nonprofit Obesity Action Coalition. “Expanding coverage and affordability of treatments is critical for people living with obesity,” Zervos said. “We commend Lilly for their leadership in delivering an innovative solution that brings us closer to achieving equitable care.” Even President Biden weighed in on social media, saying he was “pleased” with the discount but urging drug companies to cut prices “across the board.”
“No rational reason except greed”
But that wasn't all. When Lilly released its press release, people noticed that the company had also raised the price of Zepbound pens for those whose health insurance doesn't cover the drug. In the past, Lilly offered a “savings card” that allowed these patients to buy a month's supply of any dosage of Zepbound pens for $550. Now the price is $650, an increase of nearly 20 percent.
Lilly did not respond to Ars' request for comment or questions about why the company raised prices for some patients.
Sen. Bernie Sanders (I-Vt.), a longtime critic of the pharmaceutical industry and its drug prices, was quick to weigh in. He called the vial prices a “modest step forward,” but noted that even with the price cut, millions of Americans still cannot afford the drug. At $549 a month, the drug's price is slightly higher than the average monthly payment on a used car, which was $523 in the first quarter of this year, according to Experian. As for the pen price hike, Sanders called it “bad news.”
“In addition, Eli Lilly still refuses to lower the outrageously high price of Mounjaro, which Americans suffering from diabetes desperately need,” Sanders continued. “There is no rational reason, other than greed, why Mounjaro should cost $1,069 a month in the US, but only $485 in the UK and $94 in Japan.”
In May, a Senate committee report concluded that the use of such weight-loss and diabetes drugs could “bankrupt our entire health care system” given the high prices and high demand in the United States. The report was prepared by the Senate Health, Education, Labor and Pensions (HELP) Committee, which Sanders chairs.