News|Articles|May 28, 2026

CVS Restores Coverage of Lilly’s Zepbound, Adds Oral Obesity Drug Foundayo

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Key Takeaways

Zepbound’s return as a preferred option reverses a prior formulary exclusion that maintained Wegovy coverage, underscoring how net pricing and rebate contracting drive PBM obesity access decisions.
Foundayo’s inclusion highlights CVS willingness to cover emerging once-daily oral obesity therapy, potentially expanding uptake among injection-averse patients and broadening the treatable commercial population.
Parity copays across Lilly and Novo GLP-1s, with eligible patients as low as $25/month, may reduce demand friction for employers offering obesity coverage while preserving manufacturer competition on net cost.
With CVS joining other major PBMs in covering Lilly’s full obesity portfolio, expanded reach across ~90 million covered lives could accelerate second-half adoption and intensify Lilly–Novo rivalry.
The shift occurs amid heightened scrutiny of compounded GLP-1s and evolving coverage norms, signaling continued normalization of anti-obesity pharmacotherapy in mainstream benefit design.

CVS Health is restoring coverage of Eli Lilly’s Zepbound and adding oral obesity drug Foundayo to its formulary, signaling shifting payer dynamics as lower-cost GLP-1 therapies expand access for patients.

CVS Health is set to restore Eli Lilly’s Zepbound to its list of covered obesity medications and add Lilly’s newly approved oral therapy Foundayo.

The decision expands access to Eli Lilly’s weight-loss portfolio through one of the nation’s largest pharmacy benefit managers.

Why did CVS exclude Zepbound?

CVS’ recent choice marks a reversal from its decision last year to exclude Zepbound from its commercial formularies while maintaining coverage for Novo Nordisk’s Wegovy following a negotiation for more favorable pricing terms with the Danish drugmaker.²

When will CVS begin offering Zepbound?

Starting on October 1st, Zepbound will return as a preferred option on CVS Caremark commercial formularies, while Foundayo will also be added starting Monday following the removal of a standard “new-to-market” formulary block.¹

“What this change means is that, for those clients that do choose to provide coverage, they will have equal access to both the Novo and Lilly products, and consumers will have the same copays for each,” a CVS spokesperson said.

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Eligible commercially insured patients will be able to access both Zepbound and Foundayo for as little as $25 per month, aligning pricing with Novo Nordisk’s obesity therapies.¹ CVS says the change is intended to improve affordability and expand treatment options for employers offering GLP-1 coverage.

The update reflects growing payer acceptance of Lilly’s expanding obesity franchise. With CVS now covering Lilly’s obesity medicines, all three major U.S. pharmacy benefit managers include the company’s full obesity portfolio on formularies.

Why is the addition of Foundayo important?

The addition of Foundayo is particularly notable as Lilly continues building its presence in the emerging oral obesity market. The once-daily pill entered the U.S. market earlier this year and is positioned as a lower-cost alternative to injectable GLP-1 therapies. Industry observers view oral obesity drugs as a potentially significant expansion opportunity, particularly among patients hesitant to begin injectable treatment.

“For newly approved drugs, there is typically a brief lag as we evaluate whether they should be added to formularies and negotiate discounts with manufacturers,” CVS said regarding the timing of Foundayo’s inclusion.

The formulary shift could also provide a meaningful commercial tailwind for Lilly during the second half of the year. BMO Capital Markets analyst Evan Seigerman says expanded access through CVS’s approximately 90 million covered lives may help accelerate adoption of Foundayo and strengthen Lilly’s competitive position against Novo Nordisk.¹ In April, Lilly reported over 1,00 prescriptions of the drug in its first days on the market.

CVS’ decision comes amid broader changes in the obesity treatment market, including increasing scrutiny of compounded GLP-1 products and evolving insurance coverage policies. Drugmakers have increasingly focused on pricing strategies and payer negotiations to expand access as demand for obesity medications continues to outpace traditional reimbursement models.

While access remains uneven across commercial plans and Medicare coverage for obesity medicines is still limited, CVS’ decision signals continued normalization of GLP-1 therapies within mainstream pharmacy benefit design and intensifies competition between Lilly and Novo Nordisk for long-term market leadership in obesity careTop of FormBottom of Form

Sources

CVS brings back coverage for Lilly's obesity drug Zepbound Reuters May 28, 2026 https://www.reuters.com/legal/litigation/cvs-brings-back-coverage-lillys-obesity-drug-zepbound-2026-05-28/
Eli Lilly downplays CVS move to drop Zepbound coverage, shares plunge Reuters May 1, 2025 https://www.reuters.com/business/healthcare-pharmaceuticals/eli-lilly-beats-q1-profit-estimates-strength-diabetes-drug-2025-05-01/

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