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 that includes coverage for prescription drugs must limit the cost-sharing amount for insulin prescriptions to no more than $25 for a 31-day supply. This applies to various types of insulin, including rapid-acting, short-acting, intermediate-acting, and long-acting insulin drugs, as defined in the bill. The bill also clarifies the definitions of key terms such as "cost-sharing," "covered person," and "prescription insulin drug."

The provisions of this bill will take effect for contracts, policies, or plans issued or renewed on or after January 1, 2026. However, it explicitly excludes certain types of insurance from these requirements, including accident-only, specified disease, and dental or vision insurance, among others. Additionally, the commissioner of insurance is granted the authority to adopt rules to facilitate the administration of this section. Overall, the bill aims to make insulin more affordable for individuals with diabetes by capping their out-of-pocket expenses.