The company's generic version of its Humalog U-100 is being sold under the chemical name insulin lispro, the Associated Press reported.
It will cost $137.35 per vial, or $265.20 for a package of five easier-to-inject KwikPens, according to Lilly. That's half the list price the company charges for Humalog.
Humalog is a fast-acting insulin that's injected shortly before each meal. It's used by about 700,000 Americans, the AP reported.
Patients who will see the biggest savings with insulin lispro who don't have health insurance, have high-deductible insurance or have Medicare Part D plans, according to Lilly.
Sharply rising insulin costs in the United States have sparked intense criticism. From 2002 through 2013, the average insulin price nearly tripled, and prices have increased 10% a year since then. Many diabetics have been forced to ration their insulin, resulting in hospitalizations and some deaths, the AP reported.