Connect with us

Activism

California Commits $100 Million to Producing Its Own Insulin

Black Americans are slightly overrepresented in the statistics. They are 15.5% of those diagnosed with diabetes while being roughly 13% of the nation’s population, according to the United Health Foundation. Black people are also 60% more likely to be diagnosed with diabetes, are 2.3 times more likely to be hospitalized for amputations associated with the disease and are twice as likely as whites to die from it, according to the U.S. Department of Health and Human Services.

Published

on

“There is a shortage of insulin just in general so having more providers obviously reduces cost,” said Dr. Karen Hansberger, the former chief medical officer of the Inland Empire Health Plan (IEHP). “Producing it is one thing but producing it at a very high quality is the second piece of it.”
“There is a shortage of insulin just in general so having more providers obviously reduces cost,” said Dr. Karen Hansberger, the former chief medical officer of the Inland Empire Health Plan (IEHP). “Producing it is one thing but producing it at a very high quality is the second piece of it.”

By Aldon Thomas Stiles, California Black Media

On July 7, Gov. Gavin Newsom announced that California will be the first state to produce its own insulin in an effort to drive down costs for diabetics statewide.

“On my first day in office, I signed an executive order to put California on the path towards creating our own prescription drugs. And now it’s happening. California is going to make its own insulin,” Newsom stated.

Diabetes is recognized as the most expensive chronic condition in the U.S. According to data compiled by the Centers for Disease Control and Prevention (CDC), about 1 in 10 U.S. citizens live with diabetes, which is 8.8% of the planet’s known diabetes diagnoses, despite the U.S. only accounting for 4.25% of the world’s total population.

Black Americans are slightly overrepresented in the statistics. They are 15.5% of those diagnosed with diabetes while being roughly 13% of the nation’s population, according to the United Health Foundation. Black people are also 60% more likely to be diagnosed with diabetes, are 2.3 times more likely to be hospitalized for amputations associated with the disease and are twice as likely as whites to die from it, according to the U.S. Department of Health and Human Services.

Dr. Karen Hansberger, the former chief medical officer of the Inland Empire Health Plan (IEHP), explained that one of the reasons for the higher death rate for Black people with diabetes is they sometimes receive the diagnosis later in the disease progression, so by the time they see a doctor, some organs might already be damaged.

“Oftentimes, people of color don’t go to the doctor until their symptoms are really bad,” said Hansberger. “It’s harder for them to take off work and they face more difficulties when they do take off work.”

The American Diabetes Association (ADA) reports that 10.5% of California’s adult population has been diagnosed with diabetes with 16.9% of that number comprising Black adults. Black people represent about 6.5% of the state’s total population.

Californians with diabetes have been vocal about the high cost of insulin and state officials claim that monthly out-of-pocket costs for the life-saving drug can range from $300 to $500.

In 2018, insulin in the U.S. cost over 10 times more than in 32 other similarly developed countries, according to the U.S. Department of Health and Human Services.

“Nothing epitomizes market failures more than the cost of insulin,” Newsom said. “California is now taking matters into our own hands. The budget I just signed sets aside $100 million, so we can contract and make our own insulin at a cheaper price close to at cost and to make it available to all.”

The budget is split in half with $50 million going toward developing insulin products and the other $50 million dedicated to creating an insulin manufacturing facility based in California, according to the governor.

Newsom claims that this initiative aims to cut the costs of insulin and insulin products by at least half. “It’s simple. People should not go into debt to get life-saving medication,” he said.

Dr. Hansberger agreed that this could bring costs down but has reservations about the state’s ability to produce insulin well.

“There is a shortage of insulin just in general so having more providers obviously reduces cost,” said Hansberger. “Producing it is one thing but producing it at a very high quality is the second piece of it.”

Hansberger believes that the government should invest more energy in diabetes prevention for people of color, as it can be difficult getting access to fresh food in some communities of color.

“When I was the chief medical officer in East Los Angeles, we had one area – a housing project – that had been cut off by all of these freeways,” said Hansberger. “And for them to get fresh food, they had to take a 2½ hour journey. It was ridiculous.”

Hansberger stressed the significance of success for California’s insulin production plan.

“If the state of California is going to get into that business, they have to do that business well because people’s lives depend on it.”

However, she believes, in her experience, that governments “don’t necessarily do business well.”

Two other states, Washington and Maine, have joined California in establishing state-based efforts to disrupt the U.S. pharmaceutical market and assure affordable and equitable access to essential medicines through public production. Each has passed legislation related to addressing insulin costs and access within their borders by having the state participate in manufacturing and distributing it.

On the national level, U.S. Senators Susan Collins (R-ME) and Jeanne Shaheen (D-NH) have introduced bipartisan legislation by way of the Improving Needed Safeguards for Users of Lifesaving Insulin Now (INSULIN) Act which would impose mandates on insulin providers and individual health insurance companies in the private sector to cap prices for products.

“The American Diabetes Association is proud to endorse the INSULIN Act introduced by Sens. Jeanne Shaheen and Susan Collins, legislation that stands to have a historic impact on the diabetes community by dramatically reducing the cost of insulin,” said ADA Chief Advocacy Officer Lisa Murdock during a press conference last month. “More than 37 million Americans have diabetes, and 1-in-4 insulin-dependent people with diabetes report rationing their insulin for economic reasons. We urge Congress to address the prohibitive and rising cost of insulin by passing the INSULIN Act.”

Activism

Oakland Post: Week of March 18 – 24, 2026

The printed Weekly Edition of the Oakland Post: Week of March 18 – 24, 2026

Published

on

To enlarge your view of this issue, use the slider, magnifying glass icon or full page icon in the lower right corner of the browser window.

Continue Reading

Activism

Oakland Post: Week of March 11 -17, 2026

The printed Weekly Edition of the Oakland Post: Week of March 11 – 17, 2026

Published

on

To enlarge your view of this issue, use the slider, magnifying glass icon or full page icon in the lower right corner of the browser window.

Continue Reading

Activism

Oakland Post: Week of March 4 – 10, 2026

The printed Weekly Edition of the Oakland Post: Week of March 4 – 10, 2026

Published

on

To enlarge your view of this issue, use the slider, magnifying glass icon or full page icon in the lower right corner of the browser window.

Continue Reading

Subscribe to receive news and updates from the Oakland Post

* indicates required

CHECK OUT THE LATEST ISSUE OF THE OAKLAND POST

ADVERTISEMENT

WORK FROM HOME

Home-based business with potential monthly income of $10K+ per month. A proven training system and website provided to maximize business effectiveness. Perfect job to earn side and primary income. Contact Lynne for more details: Lynne4npusa@gmail.com 800-334-0540

Facebook

Activism1 month ago

Oakland Post: Week of February 11 – 17, 2026

#NNPA BlackPress1 month ago

Reflecting on Black History Milestones in Birmingham AL

Bay Area1 month ago

CITY OF SAN LEANDRO STATE OF CALIFORNIA PUBLIC WORKS DEPARTMENT ENGINEERING DIVISION NOTICE TO BIDDERS FOR ANNUAL STREET OVERLAY/REHABILITATION 2019-21 – PHASE III

Activism1 month ago

Oakland Post: Week of February 18 – 24, 2026

#NNPA BlackPress1 month ago

PRESS ROOM: NBA Hall of Fame Nominee Terry Cummings Joins 100 Black Men of DeKalb County to Launch Victory & Values Initiative

Activism1 month ago

Oakland Post: Week of February 25 – March 3, 2026

#NNPA BlackPress1 month ago

Trump’s MAGA Allies are Creating Executive Order Plan to Steal the 2026 Midterms

#NNPA BlackPress1 month ago

U.S. manufacturing rebounds – how foundry services are adapting to rising demand

#NNPA BlackPress1 month ago

OP-ED: One Hundred Years of Black Workers Telling the Truth

#NNPA BlackPress1 month ago

Advancements in solar technology that are changing the way we power the world

Bay Area entrepreneurs attend the Alley-Oop Accelerator, a small business incubation program at Chase Oakland Community Center. Photo by Carla Thomas.
Activism1 month ago

Chase Oakland Community Center Hosts Alley-Oop Accelerator Building Community and Opportunity for Bay Area Entrepreneurs

#NNPA BlackPress4 weeks ago

Poll Shows Support for Policies That Help Families Afford Child Care

Activism4 weeks ago

Oakland Post: Week of March 4 – 10, 2026

#NNPA BlackPress1 month ago

PRESS ROOM: Civil Rights TV Launches in Selma as the World’s First 24/7 Civil Rights Television Network

#NNPA BlackPress3 weeks ago

Woman’s Search for Family’s Roots Leads to Ancestor John T. Ward – A Successful Entrepreneur and Conductor on the Underground Railroad

Trending

Copyright ©2021 Post News Group, Inc. All Rights Reserved.