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Industry News

CA SB40 Caps Members' Cost Sharing for Insulin at $35 per Prescription

Industry News article

Effective January 1, 2026, a new California law, SB 40, took effect regarding coverage for insulin. This update outlines the phased-in approach to implementation by market segment and highlights key benefit impacts.

Overview

California SB 40 requires health plans to cap members cost sharing for insulin at $35 per prescription for up to a 30-day supply, subject to plan design and renewal timing.

Phase 1: Large Group Health Plans

  • Effective: January 1, 2026
  • Applies to: Large Group plans renewing on or after January 1, 2026
    • $35 maximum copay for insulin per prescription for up to a 30-day supply
    • Applies to formulary and approved non-formulary insulin
    • Insulin is exempt from deductible, including for High-Deductible Health Plans (HDHPs)
    • Members currently paying less than $35 today will continue to pay the lower amount

Phase 2: Small Group & Individual Family Plans (IFP)

  • Effective: January 1, 2027, or upon renewal thereafter
  • Implementation will occur at renewal beginning January 1, 2027
  • Additional information will be shared closer to implementation

Important Clarifications

  • The $35 cap applies per insulin prescription for a 30-day supply
  • Members using multiple insulin types may have multiple copays. The $35 cap applies to each 30-day supply of insulin, even for non-formulary insulins approved by Health Net
  • Non-insulin diabetes medications (e.g., Ozempic, Trulicity, Mounjaro) are not included
  • Diabetic supplies and Continuous Glucose Monitors (CGMs) are not impacted as these items are covered under the Durable Medical Equipment (DME) benefit
  • Members currently using non-formulary insulin, and have received approval through the Prior Authorization process, will be eligible for the $35 cap

If you have questions regarding specific groups or renewal scenarios please contact your Health Net Account Manager

Health Net News

Large Group Notice of Changes to Coverage Terms for 2026

Health Net News article

The 2026 CA Large Group Notice of Changes (NOC) has been updated.

The notice reflects Health Net of California (Health Net) compliance with new laws and regulatory requirements, including SB 40. It also informs of any Health Net administrative changes.

The Large Group NOC has been posted on the public Broker page so you may inform your employer group clients of the changes described in the notice.

More Health Net News

Direct Access to Employer Portals is Now Available

Health Net News article - New VP of Major Account Sales

Brokers now have easy access to Employer portals! We've updated functionality to ensure that you can make changes on behalf of your employer groups quickly and easily. Once the Employer has registered, you will have direct account access and control – making employer account maintenance a breeze.

New employer groups can now grant you access through the updated 2025 Application for Group Service Agreement (GSA). When the employer registers online, they are giving you the ability to make changes on the employer group's behalf. A new section has been added to the GSA to highlight this feature.

Employers have the choice to opt out of this process. (Please note the opt-out section at the bottom of the GSA). If they do not opt out, Health Net will grant you access to your Employer Group's portal.

Important: Even if the employer authorizes your access, they will still need to register for the portal for Broker access to be granted.

What you can do in the portal

Once access is granted, available actions include:

Membership

  • Enroll and delete members on the group’s behalf
  • Perform enrollment tasks
  • Run enrollment reports, request rosters and more

Billing

  • View full invoices
  • Research payment history
  • Find balance details and more

More details

Sign Up for Health Net's Market Insights February Webinar

Industry Insights to Enhance Your Business

We're pleased to invite you to the February session of our quarterly Health Net Market Insights Webinar Series.

Hosted By:

Alyson Stone, Commercial Officer
Commercial Officer, Alyson Stone

When:
Tuesday, February 17, 2026
11:00 a.m. to 12:00 p.m. Pacific time

Join Alyson and her special guests for a discussion packed with priceless information straight from the experts.

Glean valued strategies in thought leadership and explore the latest healthcare trends. All designed to help you to gain new and dynamic insights and stay informed about current industry developments. In this webinar you’ll learn about the latest:

Regulatory and Legislative Updates

Speaker
Jason Gabhart, Government Affairs Advocate
Jason Gabhart
Government Affairs Advocate

Marketplace Updates

Speaker
Ernie Bernal, Vice President IFP Sales
Ernie Bernal D
Vice President IFP Sales

Provider Contracting Updates

Speaker
Sean Lemon, Commercial Operations Officer
Sean Lemon
Commercial Operations Officer

In the Community

More Medical and Dental Care for Better Health in Reseda

Community article

Health Net awarded $500,000 to Northeast Valley Health Corporation to renovate and open a new 13,000 square foot Reseda Health Center. The center will bring medical and dental care to families in the West San Fernando Valley.

By fall 2026, the clinic will serve about 2,000 medical patients and 720 dental patients with a strong focus on children and youth, supported by Health Net's investment.

To learn more about Health Net's local commitments, visit Bridging the Divide.

Wellness

February Wellness Webinar – The Heart of Well-Being

Wellness article

Kick off the year with intention and vitality. This inspiring whole-person wellness webinar explores the powerful connection between emotional resilience, heart health, and inner purpose.

Participants will:

  • Understand key habits that support heart health and prevent chronic disease
  • Learn how emotional well-being and stress impact cardiovascular health
  • Create realistic goals that nurture mental clarity, physical energy, and spiritual balance
  • Explore practices that reconnect them with purpose, peace, and people

When:
Wednesday, February 18, 2026
12:00 to 12:45 p.m. Pacific time
 

  1. To register for this webinar, please REGISTER NOW!
    Note: If clicking on the registration link does not work properly with your computer system, please register by copying & pasting the registration link into your browser.
  2. Once the host approves your request, you will receive a confirmation email with instructions for joining the meetings. Please don't forget to add these instructions to your calendar.

Health Net members have access to complimentary wellness programs via our secure website. To access, register online and begin by taking the RealAge Test (health assessment) to identify your health score. Enjoy a variety of wellness programs, health challenges and wellness activities to help you stay healthy.

Just For Fun

Who Was St. Valentine?

Just for Fun article

This year, Valentine's Day falls on Saturday, February 14.

Across the United States and around the world, people will exchange candy, flowers, and gifts in the name of St. Valentine.

But who was this mysterious saint, and where did these traditions begin?

The history of Valentine's Day is steeped in mystery, blending Christian and ancient Roman traditions. The Catholic Church recognizes at least three martyrs named Valentine or Valentinus.

One legend describes a third-century Roman priest who secretly married couples after Emperor Claudius II banned marriage for young men. When discovered, Valentine was executed. Another story points to St. Valentine of Interamna, a bishop beheaded for refusing to renounce his faith.

Other legends claim Valentine was killed for helping persecuted Christians escape Roman prisons. One popular tale says he sent the first "valentine" to a young woman—possibly his jailor's daughter—signing it, "From your Valentine."

Though the true story remains unclear, these legends portray Valentine as a heroic and romantic figure. By the Middle Ages, he had become one of the most popular saints in England and France.

For more interesting Valentine's Day facts and traditions, visit History.com

Have a Happy Valentine's, Galentine's, Palentines – However You Celebrate!

Last Updated: 01/26/2026