One in five employers now recommend employees use health savings accounts or flexible spending arrangements to pay for GLP-1 weight loss drugs, according to new research. Only 36% of employers cover these medications for weight loss, while many offer alternative support like nutritional counseling…
As workers increasingly demand GLP-1 drugs for weight loss, employers are finding ways to avoid direct coverage. According to new research from the International Foundation of Employee Benefit Plans, one in five employers now recommend that employees use their flexible spending accounts FSA , health savings accounts HSA , or integrated health reimbursement arrangements HRA to obtain these medications. This approach allows companies to support employee access without adding the drugs to their health plan formularies.
Only 36% of employers currently cover GLP-1s for weight loss, the report found. Among those that do not provide coverage, just 9% are even considering adding it. The reluctance stems primarily from high costs, which continue to climb. GLP-1 drugs for weight loss accounted for 11.4% of annual claims for corporations in 2025, a sharp increase from 6.9% in 2023.
Most employers that do not cover GLP-1s for weight loss still try to assist workers through other benefits, said Carey Wooton, associate vice president of education at the International Foundation. Nearly three-quarters of employers provide disease management and case management services. More than six in ten offer nutritional counseling, and a similar share cover bariatric surgery. These alternatives aim to address obesity and related conditions without the recurring expense of GLP-1 medications.
Despite limited employer coverage, U.S. adult use of GLP-1 drugs for weight loss has reached an all-time high, according to new Gallup research. The survey of 5,065 adults conducted in May and June 2026 found that 11% said they currently take GLP-1 medications to lose weight. That figure is nearly four times the share who reported doing so just two years earlier. Overall, 15% of adults said they have used these drugs for weight loss at some point, up nine percentage points from previous surveys.
The U.S. Food and Drug Administration approved Wegovy in 2021 as the first GLP-1 drug specifically for weight loss, and has since authorized other medications in the class. The rising use of GLP-1s correlates with a decline in the national adult obesity rate. Gallup found that the obesity rate fell to 36.4% in 2026, down from a record high of 39.9% in 2022. This represents "a statistically meaningful decline that continues to inversely track with increased usage of GLP-1 medicine nationally," according to Gallup.
At the same time, the share of U.S. adults diagnosed with diabetes has remained relatively stable since 2023, the research noted, "after 15 years of slowly rising rates concurring with rising obesity." This stability may reflect the metabolic benefits of GLP-1 medications beyond weight loss.
For employers, the cost picture is complex. A January 2026 report from risk consultation firm Aon examined the financial impact of continued GLP-1 use. Using data from more than 50 million people, including 192,000 GLP-1 users, tracked over more than two years, the analysis found that medical cost growth was three percentage points lower over 18 months for those using GLP-1s for weight loss. This suggests that while the drugs are expensive upfront, they may reduce overall healthcare spending by improving health outcomes.
Still, most employers remain hesitant to add GLP-1 coverage for weight loss, preferring instead to steer workers toward tax-advantaged accounts and supportive services. The research from the International Foundation highlights a cautious approach to managing both employee demand and corporate healthcare budgets.
Peptides referenced: Semaglutide, GLP-1.
Related reading: Crocin II Targets ANGPTL8 to Reduce MASLD Progression in Preclinical Study, Most MS Patients Eligible for GLP-1 Drugs Not Taking Them, Survey Finds, GLP-1 Injection Customers Lost Thousands; Wellness Founder Charged with 10 Felonies, GLP-1 Drug Costs Push Dallas Health Plan Over Budget.