Prescribed for weight loss management, GLP-1 medications like semaglutide and tirzepatide have become a phenomenon over the past 18 months. Much of the conversation has focused on bodily injury concerns, driven by areas of limited research and the ease with which some patients have found accessing these powerful medications.
But at CFC, we’re seeing a wider pattern emerge. While bodily injury claims remain front and center, claims related to weight-loss medication have triggered no less than eight distinct insuring clause sections under our eHealth policy—revealing a far broader risk landscape than bodily injury alone.
So, what risks should businesses prepare for?
Common concerns: Why regulators are paying close attention
The surge in demand for weight-loss medications is attracting increased attention from regulators, especially around how treatments are being prescribed and administered. Digital health platforms have made access to medications easier than ever, but sometimes at the cost of clinical rigor. Because patient eligibility criteria are widely known, some platforms allow patients to obtain prescriptions by simply completing a questionnaire, without ever consulting a medical provider. This, combined with remote prescribing and limited patient verification, can result in improper prescriptions and unsafe treatment plans.
At the same time, global supply shortages have opened the door for compounded versions of branded medications—customized formulations that may not be subject to the same manufacturing oversight. This lack of standardization raises further red flags around dosing, administration and overall patient safety.
Bodily injury claims connected to weight-loss drugs already point to serious adverse effects, including cases of jaundice, nausea and kidney damage. While these are among the more visible risks, they’re only the beginning.
Beyond bodily injury: The broader risk landscape
In today’s competitive market, some providers may be tempted to push the boundaries of advertising. We’ve seen brand names used without proper licensing and efficacy claims that don’t comply with the local advertising regulations in a territory, as well as infringement of intellectual property (IP) rights of third parties. Here, a simple misstep can lead to legal and reputational consequences.
Then there’s the question of data. With patient information being used for marketing or personalized outreach, the risk of privacy violations grows—particularly when sensitive health data is involved. Given the sharp rise in patients wanting to access these medications, many insureds are rapidly accumulating sensitive patient data, but not implementing IT security controls to account for it.
Cross-border prescribing is another key concern. As digital health platforms expand, they must navigate a patchwork of international regulations. What’s permissible in one region may be restricted in another, making compliance difficult to achieve as medications are distributed—and leaving providers vulnerable. For example, there are questions around the designation of the practitioner prescribing these medications, and whether a live consult with a provider must be completed before a prescription is issued. These requirements can vary significantly between jurisdictions, further complicating compliance.
Additionally, compounded versions of these medications are only legal in certain jurisdictions. In the US, for instance, the FDA has recently removed semaglutide from its drug shortage list, meaning compounding pharmacies will no longer be permitted to produce compounded versions—posing further regulatory and legal challenges for digital health platforms operating across borders.
Market prognosis: The right cover matters more than ever
With advances in GLP-1 medications gaining momentum, the risks facing digital healthcare providers are evolving just as quickly. As new treatments become more widely prescribed, we’re seeing a significant shift in the types of claims being made, many falling outside the scope of a traditional medical malpractice policy.
Our new Digital healthcare report 2025 reveals just how the claims profile is becoming more complex. For providers operating in this space, a comprehensive, purpose-built digital healthcare policy isn’t just nice to have—it’s essential.
Looking ahead, we can expect further regulatory pressure, especially around how patient eligibility is assessed and documented. As scrutiny increases globally, practitioners and companies alike will need to be ready for a more rigorous compliance environment.
Download our Digital healthcare report 2025 for more on the growing impact of weight-loss medications and other key trends including AI and cyber risk.
