The 2027 Medicare price for Ozempic is set at $274 per month, according to CMS, as part of a second-year round of negotiated caps on 15 widely used drugs. The agency said these Maximum Fair Prices take effect January 1, 2027.
CMS finalizes 2027 Medicare drug prices for 15 drugs
CMS said it reached agreements with manufacturers through the medicare drug price negotiation program. The agency refers to each negotiated ceiling as the cms maximum fair price (MFP).
Zoom in: The cms maximum fair price will apply across Medicare coverage starting in 2027, aligning plan payments and beneficiary cost-sharing to the capped amount, according to available reports. The medicare drug price negotiation program aims to reduce federal and patient spending while maintaining access.
2027 Medicare price for Ozempic: $274
CMS set a monthly MFP of $274 for semaglutide products (Ozempic, Rybelsus, Wegovy). That is a 71% cut from a 2024 list price of $959, per the CMS fact sheet.
The semaglutide $274 medicare price will apply to all three formulations when covered under Part D. Supporters say the semaglutide $274 medicare price should lower out-of-pocket costs for seniors.
How the 2027 Medicare price for Ozempic impacts Part D
By the numbers:
- If the negotiated prices had applied to 2024 spending, Medicare would have seen about $12B in net savings, or roughly 44% lower net spending in aggregate.
- When the Coverage Gap Discount Program (CGDP) is included, estimated savings are about $8.5B.
- CMS projects $685M in out-of-pocket savings for beneficiaries in 2027.
Consequently, the 2027 Medicare price for Ozempic becomes a key anchor for GLP-1 costs in Part D. CMS has emphasized this medicare $12b savings estimate while noting program mechanics that yield the ~$8.5B figure. Policymakers also reference the medicare $12b savings estimate to frame budget impacts beyond 2027.
Who is affected: scope of use and spend
In 2024, about 5.3 million Part D enrollees used these 15 medicines, CMS said. They accounted for approximately $42.5 billion in gross covered costs, or about 15% of Part D spending.
For prescribers and plans, the 2027 Medicare price for Ozempic clarifies near-term pricing assumptions for GLP-1 therapy. Patients should gain predictability on cost-sharing as the new caps take effect.
Prices and discounts across the 15 drugs
Discounts versus 2024 list prices range from 38% to 85%. Examples include Trelegy Ellipta at $175 (vs $654) and Linzess at $136 (vs $539).
Moreover, the 2027 medicare prices for 15 drugs span cancer, cardiovascular, metabolic, GI, and neuropsychiatric conditions. The list includes Ozempic/Rybelsus/Wegovy, Trelegy Ellipta, Xtandi, Pomalyst, Ibrance, Ofev, Linzess, Calquence, Austedo/Austedo XR, Breo Ellipta, Tradjenta, Xifaxan, Vraylar, Janumet/Janumet XR, and Otezla. Plans will incorporate the 2027 medicare prices for 15 drugs into their 2027 bids and formulary strategies.
Timeline: from negotiation to 2027 implementation
CMS announced the agreements in late 2025 after completing the negotiation round. The Maximum Fair Prices become effective for Medicare beneficiaries on January 1, 2027.
The upshot
The 2027 Medicare price for Ozempic is a headline figure, but the broad effect is portfolio-wide. Because the 2027 Medicare price for Ozempic is paired with double‑digit cuts across other brands, beneficiaries and taxpayers should see measurable savings.
What’s next: Implementation work now shifts to plans, pharmacies, and manufacturers. Further rounds in the medicare drug price negotiation program are expected, and drugmakers have signaled potential responses in contracting and access. As the semaglutide $274 medicare price and the cms maximum fair price take hold, observers will track adherence, utilization shifts, and realized savings versus projections.
Sources
- Centers for Medicare & Medicaid Services (CMS): CMS Delivers Savings for Seniors on 15 Major Drugs for Cancer and Chronic Disease
- Centers for Medicare & Medicaid Services (CMS): Medicare Drug Price Negotiation Program: Negotiated Prices for Initial Price Applicability Year 2027 (Fact sheet)
- Reuters: US slashes 36% off Medicare spending on 15 high-priced medicines
- Wall Street Journal: U.S. Negotiates Lower Prices for Ozempic and 14 Other Drugs
- Financial Times: Trump administration slashes Ozempic and Wegovy price for Medicare
- POLITICO: Trump’s CMS touts $12B savings from Medicare drug price negotiations
