This bill establishes new regulations regarding insurance coverage for prescription insulin drugs in Iowa. It mandates that any policy, contract, or plan providing for third-party payment or prepayment of health or medical expenses must cap the cost-sharing amount for prescription insulin drugs at no more than $25 for a 31-day supply of at least one type of rapid-acting, short-acting, intermediate-acting, or long-acting insulin. The bill defines "prescription insulin drug" as any insulin-containing drug prescribed as medically necessary for diabetes treatment and covered by the individual's insurance plan. Additionally, it clarifies that cost-sharing includes any out-of-pocket expenses such as copayments or deductibles.

The provisions of this bill will apply to various types of insurance contracts and plans issued or renewed in Iowa on or after January 1, 2026, but it excludes certain types of insurance such as accident-only, dental, vision, and long-term care coverage. The bill also allows the commissioner of insurance to adopt rules for its administration. Overall, the legislation aims to make insulin more affordable for individuals with diabetes by limiting their financial burden when obtaining necessary medications.