Jan 27 (Reuters) - Novo Nordisk agreed to cap

insulin prices to settle a lawsuit in which Minnesota's attorney

general accused the three largest insulin makers of deceptive

pricing practices, court papers on Monday show.

The settlement calls for Novo Nordisk to cap monthly

out-of-pocket costs at $35 per prescription for patients who

want it.

Novo Nordisk also intends to continue providing free insulin

to needy Minnesotans. The company denied wrongdoing in agreeing

to the settlement, which requires court approval.