California Launches $11 Insulin Program for Diabetics Starting January

California is set to transform access to insulin for its residents, as Governor Gavin Newsom announced a new program that will allow individuals with diabetes to purchase state-branded insulin at a significantly reduced price. Starting on January 1, 2024, long-acting insulin pens will be available for just $11 each, or $55 for a pack of five, marking a substantial decrease from the usual retail prices.

The insulin pens being offered will be interchangeable with glargine, the generic alternative to Lantus, which is used for daily blood sugar regulation. According to data collected by the governor’s office, pharmacies currently pay over $92 for a similar amount of Lantus, although the price consumers pay may vary depending on their insurance coverage.

Gavin Newsom emphasized the urgency of the initiative, stating, “California didn’t wait for the pharmaceutical industry to do the right thing — we took matters into our own hands. No Californian should ever have to ration insulin or go into debt to stay alive.” Approximately 3.5 million Californians are affected by diabetes, as reported by the American Diabetes Association.

Background and Legislative Support

The high cost of insulin has garnered increasing attention from lawmakers at both state and federal levels in recent years. Price caps introduced by the Biden administration in 2023, along with growing public pressure, have contributed to a national decline in insulin prices. This new initiative is part of California’s broader CalRx program, designed to reduce prescription drug costs statewide.

This announcement comes three years after Governor Newsom first pledged to tackle insulin costs. The launch of the insulin program was initially targeted for 2024, but the state is now ready to deliver on that promise sooner than expected. The governor’s office originally allocated $50 million to partner with Civica Rx, a nonprofit drug manufacturer based in Utah. Additionally, another $50 million was designated for the construction of a manufacturing facility in California, although updates regarding this project remain scarce.

In a statement, Elizabeth Landsberg, director of the state health care access department overseeing the CalRx initiative, noted that the program aims for “transparent pricing, eliminating hidden costs, and ensuring equitable medication access for uninsured, underinsured, and vulnerable residents.”

Recent Legislative Developments

Less than a week prior to this announcement, Newsom signed legislation to cap out-of-pocket insulin costs for insured individuals at $35. This legislative move is part of a broader effort to ensure that essential medications remain affordable for all Californians.

As this story develops, further updates will be provided regarding the implementation of the insulin program and its impact on residents across California. The initiative is supported by the California Health Care Foundation, an organization dedicated to improving access to affordable healthcare for all individuals.

For more information, visit www.chcf.org.