“The prices for these drugs are so high in the United States that everyone — regardless of whether they use the products or not — will likely be forced to bear the burden of Novo Nordisk’s profit maximizing strategy through higher insurance premiums and taxes,” Sanders wrote in a public letter to Jorgensen.
In response, Jorgensen defended the company’s pricing at a senate hearing in front of the Committee on Health, Education, Labor and Pensions (HELP), attributing the high costs to the U.S. healthcare system rather than corporate greed. While he acknowledged that Americans pay more than consumers in Europe and the U.K., Jorgensen emphasized that many patients still access the drugs at affordable rates between $25 and $50 per month.
The debate underscores growing tensions around the skyrocketing demand for GLP-1 drugs, which, though originally developed for type 2 diabetes, have surged in popularity because of their effectiveness for weight loss.
The pricing controversy surrounding Novo Nordisk
Senator Sanders has been vocal about the significant price disparities in the Denmark-based drug company’s products, particularly Ozempic and Wegovy, across different countries. Sanders highlighted that while Americans pay $969 for a month's supply of Ozempic, the cost is drastically lower in other countries.
For example, in Canada the same supply costs $155 and just $59 in Germany. Similarly, Wegovy costs $1,349 per month for Americans, compared to $140 in Germany and $92 in the U.K.
According to a Bloomberg News analysis of regulatory filings and analyst estimates, Novo Nordisk’s diabetes and obesity medications have already generated nearly $50 billion in sales as of the second quarter of 2024 — and 72% of that revenue came from U.S. consumers, according to a statement from Sanders on X.
Bloomberg says sales are projected to reach $65 billion by the end of the year.
The testimony
On September 24th, 2024, Jorgensen wasn't shy about stepping up to defend his company’s prices.
He emphasized that despite the high price point, more than 80% of U.S. patients with health insurance coverage for Ozempic or Wegovy pay $25 or less per prescription. According to Jorgensen, the system helps reduce the financial burden for many insured patients, even as broader concerns about affordability remain.
