Insulin and its signaling systems are implicated in both central and peripheral mechanisms governing the ingestion, distribution, metabolism, and storage of nutrients in organisms ranging from worms to humans. Input from the environment regarding the availability and type of nutrients is sensed and integrated with humoral information (provided in part by insulin) regarding the sufficiency of body fat stores. In response to these afferent inputs, neuronal pathways are activated that influence energy flux and nutrient metabolism in the body and ensure reproductive competency. Growing evidence supports the hypothesis that reduced central nervous system insulin signaling from either defective secretion or action contributes to the pathogenesis of common metabolic disorders, including diabetes and obesity, and may therefore help to explain the close association between these two disorders. These considerations implicate insulin action in the brain, an organ previously considered to be insulin independent, as a key determinant of both glucose and energy homeostasis. Diabetes 54: 1264 -1276, 2005 A n important function of the central nervous system (CNS) is to ensure a steady supply of energy substrate to maintain the body economy and prepare for reproduction. To accomplish this task, widely divergent afferent signals must be integrated and transduced into homeostatic adjustments of food intake, energy expenditure, and nutrient metabolism.This perspectives article focuses on recent progress in our understanding of neuronal insulin action and the critical role it plays in energy homeostasis. Based on this information, we hypothesize that the close association between diabetes and obesity in humans arises, at least in part, as a consequence of deficient insulin signaling in both the CNS and peripheral tissues.Studies conducted Ͼ50 years ago first implicated the ventral hypothalamus as a key brain area in energy homeostasis, and an explosion of new information has both confirmed this early impression and illuminated many of the critical mechanisms involved. Among the key findings is evidence that insulin functions not only as a peripheral regulator of nutrient storage and release of circulating substrates but as a key afferent signal to the CNS for the control of energy balance. Indeed, neuronal insulin signaling is known to be important for the control of fat storage in animals as primitive as C. elegans and Drosophilia melanogaster, and the cellular signaling systems mediating these effects bear remarkable homology to those described in mammals. New data have also shown that neuronal insulin signaling is a determinant of lifespan and reproductive function in these organisms, further broadening the importance of this system to diverse areas of physiology and biomedicine.While we note growing evidence implicating insulin action in the control of cognition and neuronal function in cortical and hippocampal areas important to memory formation and information processing, this is not the focus of this article. However, we p...