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California Gov. Gavin Newsom vetoes bill aimed at limiting the price of insulin
California Gov. Gavin Newsom has vetoed a bill aimed at limiting the price of insulin
SACRAMENTO, Calif. (AP) — Gov. Gavin Newsom has vetoed a bill that would have stopped insurance companies from charging more than $35 for insulin.
Newsom, a Democrat, said earlier this year that California would soon start making its own brand of insulin. The state has a $50 million contract with the nonprofit pharmaceutical company Civica Rx to manufacture the insulin under the brand CalRx. The state would sell a 10 milliliter vial of insulin for $30.
“With CalRx, we are getting at the underlying cost, which is the true sustainable solution to high-cost pharmaceuticals,” Newsom wrote in a message explaining why he vetoed the bill on Saturday. “With copay caps however, the long-term costs are still passed down to consumers through higher premiums from health plans.”