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California becomes latest state to cap insulin costs

California becomes latest state to cap insulin costs

SACRAMENTO, Calif. – California Gov. Gavin Newsom has signed Senate Bill 40 to cap insulin costs at $35 for a 30-day supply for Californians on private state-regulated health plans. In California, approximately 3.5 million adults have diagnosed diabetes, according to the American Diabetes Association (ADA), and while not all use insulin, those who do rely on it to survive. “For far too long, many Americans with diabetes have made the difficult decision to ration this lifesaving medication to pay for other necessities, such as groceries or rent,” said Christine Fallabel, MPH, the ADA’s state government affairs director. “The ADA and our community of diabetes advocates continue to push for legislation across the nation to make insulin accessible for all who need it to live.” Effective Jan. 1, 2026, large group insurers will be required to cap insulin copayments at $35 for a 30-day supply and to ensure at least one insulin for a given drug type in all forms/concentrations be on the prescription drug formulary. Individual or small group health care insurers will need to cap copayments starting on Jan. 1, 2027.

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