The governor said on Thursday that California would make its own low-costinsulin in an effort to make it more affordable.
The governor said in a video that the cost of a life-saving drug is the epitome of market failure.
With a budget of $100 million, California plans to contract and make its owninsulin at a cheaper price and make it available to all. It's not clear when the low-cost drugs will be available or how inexpensive California'sinsulin will be.
In the U.S., it costs around $100 per unit for the drug. The price in Chile is less than $25 per unit, which is the second-lowest in the 34 countries analyzed.
According to a recent survey, four in five Americans in need ofinsulin have incurred thousands of dollars in credit card debt to pay for it. All survey participants had an average debt of $9500.
The program will give $50 million for the development of cheaper products and $50 million for an in-state manufacturing facility for the drugs, according to the governor.
No one knows if any other states will follow suit. The House of Representatives passed a bill in March that would limit out-of-pocket costs for people with private health insurance. The bill hasn't been passed by the Senate.
37.3 million people in America have diabetes according to the CDC. The governor's office says that California has a particularly high rate of new diabetes cases.
California is taking matters into its own hands, according to the governor. People should not go into debt to get life-saving medication.
You can get smarter about your money and career by signing up for our weekly newsletter.
Don't miss anything.
All Rights Reserved © 2024
