Dexcom seeks expanded Medicare coverage of CGMs for Type 2 diabetes

Dexcom is watching for expanded Medicare coverage of its continuous glucose monitors to people with Type 2 diabetes who don’t take insulin. 

New CEO Jake Leach told investors on Thursday that the company has been “sitting here waiting for a coverage decision” from the Centers for Medicare and Medicaid Services. Dexcom expects CMS to propose a coverage expansion in the first half of 2026, BTIG analyst Marie Thibault wrote in a note to clients Thursday. 

Dexcom started to see commercial coverage unlock for Type 2, non-insulin users toward the end of last year, Leach said. He expects broader Medicare coverage for that group would allow nearly 12 million people to access CGMs. 

In the meantime, the American Diabetes Association updated its guidelines last year to recommend clinicians consider using CGMs for Type 2 diabetes when patients are taking glucose-lowering medications other than insulin. Leach said that real world data the company has been generating supports that decision, and that Dexcom has launched a registry for non-insulin users.

Dexcom plans to publish results of a 300-person randomized controlled trial mid-year comparing CGMs to the standard of care for Type 2 non-insulin users, Leach added.

“Clearly, the private payers have started moving in the direction of coverage, and so we’re going to continue to do everything we can do to support a coverage decision here with Medicare,” the CEO said.

Dexcom’s 2026 revenue forecast of 11% to 13% year-over-year growth assumes no benefit from Type 2 coverage expansion, RBC Capital Markets analyst Shagun Singh wrote in a research note.

15-day sensor launch

Dexcom began a launch of its 15-day sensor in December, starting with durable medical equipment providers. Leach said that the 15-day G7 device includes enhancements Dexcom has made to its G7 sensor over recent years, and that the company has been getting good feedback on its longevity, reliability and accuracy. Dexcom started the rollout in the U.S. and plans to extend it globally. 

Thibault wrote the rollout of the 15-day sensor helped drive demand in the fourth quarter and is continuing into 2026.