Much of the answer lies in how our system works. If obesity isn’t covered by insurance, doctors have little incentive to diagnose it. Claims that include obesity as a diagnosis often get denied, even when treatment is for a related condition. That keeps obesity out of the data and off our radar. But not seeing the problem doesn’t make it go away—it just gets more expensive.

What does obesity cost your company?

Here are a few areas where employers should look to get a sense of hidden costs:

• Medical Costs: According to the Kaiser Family Foundation, the incremental annual cost of obesity per employee is $7,899 higher than people without—bringing the total costs of obesity to $12,735 per year, per person. And that’s likely an undercount, due to underdiagnosis.  
• Absenteeism: Employees living with obesity are more likely to miss work. Studies peg this additional cost at $1,755 per employee per year.   
• Presenteeism: Even when employees are present, chronic conditions like obesity often reduce productivity.  
• Disability: Research from GlobalData shows that employers spend an extra $644 annually on disability claims for employees with obesity.  

These numbers add up—and fast. And yet, they still don’t account for the ripple effects like lost team momentum, overtime pay to cover absences, or the toll on company culture.

Related: Eli Lilly’s new GLP-1 weight loss drug, in pill form, would be more affordable than Ozempic

How does the cost of obesity treatment compare?

Medications like GLP-1 receptor agonists (including tirzepatide) are changing the conversation. In one study, tirzepatide reduced the incidence of developing type 2 diabetes by 94% in people with prediabetes — a staggering result when you consider the cost of diabetes. Annual medical expenses for people with diabetes average nearly $20,000, with over $12,000 directly attributed to the disease itself. Even if treating obesity doesn’t reverse every comorbidity overnight, the early data shows that it’s already reducing incidence and cost savings are already happening. As a patient advocate in the diabetes space, this brings immense hope.

GLP-1s are also showing positive results in lowering risks for heart disease and other major conditions, with more studies underway. The ROI of GLP-1 treatment coverage are becoming clear, and many employers are already moving toward coverage.

Pricing, pressure, and the market at work

Compound pharmacies also played a role, whether intentionally or not, by creating market pressure. I support the FDA’s crackdown on compounders as intellectual property theft hurts innovation and patients in the long run. No new drugs would ever be developed if the risk of someone stealing it were ever-present. Nevertheless, compounding undeniably contributed to shifting public expectations toward affordability.

What about your workplace?

Employee expectations matter. A Diabetes Patient Advocacy Coalition survey recently found that 73% of Americans support covering GLP-1s in Medicare, and that support cuts across political party lines. Americans are okay with having their tax dollars covering these drugs, so it’s a fair bet they’ll expect their employers to make similar investments.

In fact, 31% of working-age adults report they’d consider changing jobs for better GLP-1 coverage. In a competitive labor market, offering access to obesity treatment may be more than a health benefit—it could be a key differentiator for recruitment and retention. Add in the cost of turnover, and the ROI on coverage starts looking even stronger.

Obesity is no longer just a matter of personal health, but a workforce, cost, and leadership issue. Employers have the opportunity to lead by example: to stop treating obesity as invisible and start addressing it as the manageable, treatable disease it is.