Maryland state affordability board places a price cap on Ozempic

The Maryland Prescription Drug Affordability Board agreed to set an upper payment limit for the Ozempic diabetes treatment, marking the second time that the state panel has taken such a step in recent weeks.

The board, which is designed to function like a state utility commission, will now oversee a process to lower the cost of the type 2 diabetes medicine for the state and local governments by January 2027. At the time, the price will be capped at $274 for a 30-day supply, a move the board estimates will save $5.8 million a year.

The expected cost was benchmarked against the maximum fair price paid by Medicare, said Andrew York, executive director of the Maryland board. Meanwhile, the board is expected to begin acting in 2028 to set upper payment limits on high-cost drugs purchased by all Marylanders in the commercial insurance market as well.