Does Medicare cover Ozempic? Yes, depending on why it is being prescribed, Medicare should cover Ozempic if it’s prescribed for diabetes. However, if you’re seeking Ozempic for weight loss, Medicare won’t cover it.
Ozempic is known to be expensive if you have to pay out of pocket. According to GoodRx, the cost can range from $900 to over $1,000 per month, a substantial expense for retirees living on a fixed income.

How can you pay for Ozempic if it’s not covered by Medicare for weight loss?

Let’s explore some options:
Medicare Advantage Plans: Some Medicare Advantage plans may cover Ozempic for weight loss, though this is relatively uncommon. You should check with your plan provider for specific coverage details.
Utilize Retirement Savings: Using your retirement savings to pay for Ozempic might be an option, depending on your income and the balance of your assets. However, this should be considered carefully to ensure you’re not straining your retirement funds or having a negative impact on the success rate of your retirement plan.
Family Support: If you have wealthy family members willing to help, that could be a great solution. Unfortunately, not everyone has this option.
Credit Cards: Using a credit card to cover the cost of Ozempic can lead to accumulating substantial credit card debt, which may become unmanageable in the long run, especially if you are living on a fixed income.
However, there’s an alternative way to pay for Ozempic that might not immediately come to mind – and that is using a reverse mortgage. Let’s take a look at this unconventional but potentially beneficial solution.
There are several reasons to consider getting a reverse mortgage in this situation.
1. Getting reverse mortgage could provide access to the necessary cash to cover your monthly Ozempic prescription costs.
2. Rather than depleting your retirement savings, you can use a reverse mortgage to access funds while leaving your retirement nest egg intact.
3. If you have other debts like credit cards, car payments, or a mortgage, consolidating them into a reverse mortgage can free up cash flow. This could free up enough cash flow on a monthly basis for you to afford your monthly Ozempic prescription.
4. It could help you be better prepared for other significant expenses during retirement, such as healthcare costs, home repairs, and car maintenance.
Now, let’s consider a real-life scenario to illustrate how a reverse mortgage could benefit someone like Mary. Mary has tried numerous methods to lose weight but hasn’t found success. Ozempic could be the solution she needs, but she can’t afford the $950 monthly cost and Medicare will not cover the cost because it would be prescribed for weight loss.
Here are the basics of Mary;s financial situation.
Age: 65
Monthly Income: $3,200
Home Value: $500,000
Mortgage Balance: $98,000
Mortgage Payment: $875 per month
Retirement Savings: $45,000
Mary reached out to explore the option of a reverse mortgage.
What we came up with is that Mary could get the reverse mortgage. This would eliminate her monthly mortgage payment. (she still need to pay property taxes and homeowners insurance). Eliminating the mortgage payment freed up enough cash flow that Mary could afford her Ozempic prescription.
The chart below represent the reverse mortgage Mary received.
does medicare pay for ozempic

Numbers in illustration based on interest rates of 08/14/2023. Initial APR of 7.985%. The loan has a variable rate which can change each month. The rate is tied to the 1 Year CMT with a margin of 2.625%. There is a lifetime cap of 5% on the initial rate. The growth rate used in the illustration is based on the expected rate of 6.695% plus .5%. Estimated closing costs of $19,739.55. Closing costs will vary by state. Not a commitment to lend.  Assumes no payment made. The content within this video is provided solely for illustrative purposes. This is based on a fictional character and scenario and outcomes cannot be assured. 

The blue bar represent the value of Mary’s home over time assuming a 4% appreciation rate.
The orange bar represents the loan balance. Initially the loan balance is $117,740 after consolidating her current mortgage and lumping in the closing costs. We can see the orange bar is increasing over time. It is increasing for two reasons.
First, we are making the assumption that Mary is not making a monthly mortgage payment. (she still must pay her property taxes and homeowners insurance) She is not making a payment because she is using those funds to pay for her Ozempic prescription since Medicare will not.
Second, because no mortgage payment is being made, the interest and mortgage insurance is getting added to the loan balance. Thus the loan balance increases over time.
The green bar represents Mary’s line of credit. She is starting with a $54,260 line of credit. We can see this green bar is also increasing over time. This is because any funds in the line of credit grow at the current interest rate plus .5%.
There are several reasons why Mary may want to consider the reverse mortgage as a way to pay for Ozempic
  • By refinancing her current mortgage into the reverse mortgage she is freeing up enough cash flow to pay for her prescription.
  • Between the reverse mortgage line of credit and her current retirement savings, she is more than doubled the amount of liquid funds she has available.
  • She is not getting into credit card debt pay for her prescription.
  • She feels better and has an improved quality of life with the weight loss.
In summary, a reverse mortgage can provide a viable solution for covering the cost of Ozempic while preserving retirement savings and enhancing financial flexibility. If you find yourself in a situation similar to Mary’s where Medicare won’t cover Ozempic. It’s worth exploring this option to see if it aligns with your goals and needs.