Walmart Inc. announced plans to expand coverage for more than 250 prescription medications, including some widely used branded drugs, at no cost to employees enrolled in its medical plans. The enhancement aims to support worker retention amid a broader industry trend of rising health care expenses and benefit reductions.
Starting next year, Walmart will provide employees with free access to certain medications following prior approval. This list includes Novo Nordisk’s Ozempic and Eli Lilly & Co.’s Mounjaro, both glucagon-like peptide-1 receptor agonists (GLP-1s) used to treat Type 2 diabetes. Additionally, select insulins and inhalers will be covered without charge. The expanded drug coverage also encompasses treatments for migraines, dementia, and cardiovascular diseases.
Donna Morris, Walmart’s chief people officer, detailed the changes in an internal memo to staff, indicating the company’s commitment to easing the financial burden of prescription drugs for its workforce. This move contrasts with several other major employers who are scaling back benefits, particularly restricting or eliminating coverage for GLP-1 medications prescribed for weight management amid growing costs.
Despite the enhanced drug benefits, Walmart plans to increase employee insurance premiums next year, although the rate hike will be smaller than anticipated for 2026, according to a company spokesman. The retailer, recognized as the largest private employer in the United States, aims to balance cost management with the goal of attracting and retaining talent in a competitive labor market.
By providing no-cost coverage for a broad range of essential medications, Walmart seeks to address both chronic disease management and broader employee health needs. The initiative reflects an ongoing industry challenge of reconciling rising health care expenditures with employee benefit offerings.