Over half a million Californians could lose access to the hugely popular GLP-1 weight loss drugs starting Jan. 1, 2026, after the state government decided to deny some Medi-Cal coverage for the prescription drugs in an effort to save money.
GLP-1 drugs have become a blockbuster hit for people aiming to lose weight following the Food and Drug Administration’s approval of the name-brand drug Wegovy in 2021. California’s Medi-Cal program, the state’s Medicaid program that covers low-income people and those with disabilities, was paying for over 660,000 people to take various GLP-1 drugs in 2023, CalMatters reported.
The state will no longer cover those prescriptions if the patient was prescribed the drug for strictly weight loss. However, the state will still cover certain GLP-1 drugs if they are prescribed for other indications, such as diabetes, heart disease or chronic kidney disease. The changes apply to the name brands Wegovy, Ozempic, Mounjaro and Zepbound, according to a November state bulletin.
It’s not clear exactly how many Medi-Cal patients are prescribed the drugs only for weight loss and would lose coverage. The California Department of Health Care Services was not able to provide an estimate to the Los Angeles Times. A recent national poll found that 38% of adults who have ever used the medications took them only to lose weight and not to treat a chronic condition like diabetes.
President Donald Trump looks on in the Oval Office during an event about weight loss drugs in Washington, D.C., on Nov. 6, 2025. (Andrew Caballero-Reynolds/AFP/Getty Images)
The coverage loss comes after President Donald Trump cut Medicaid spending by more than $900 billion over the course of the next decade, which means less money will flow to states to pay for the health care programs. States across the country have been scrambling to find cost savings in their Medicaid programs, including cutting coverage for GLP-1 drugs.
Gov. Gavin Newsom’s administration proposed the cuts as part of a way to trim Medi-Cal’s costs. The state expects the GLP-1 change to save $85 million for the 2025-26 fiscal year and $790 million by 2028-29. The governor’s budget also slashed coverage in other areas, including saving $1 billion by cutting payments to cover health care costs for immigrants without legal status.
Medi-Cal recommended that providers wean affected patients off their GLP-1 drugs this fall and then encourage them to use other treatment options, including dietary changes, increased exercise and counseling. Experts interviewed by the LA Times said the coverage change would harm their Medi-Cal patients because most people regain weight once they stop using GLP-1 drugs.
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This article originally published at California to stop paying insurance claims on Ozempic, other GLP-1s.