IRS-1 is phosphorylated on tyrosine residues after insulin stimulation and participates in the early events of signal transduction in peripheral insulin-sensitive tissues. This study determined whether neuronal populations in the rat olfactory bulb and hippocampus (brain regions which have very high concentrations of insulin receptors) also express IRS-1 and contain phosphotyrosine, using in situ hybridization, receptor binding, and immunocytochemistry. IRS-1 mRNA was colocalized with insulin receptor mRNA in neuron cell bodies of hippocampus and olfactory bulb. Similarly, IRS-1 immunoreactivity in hippocampus and olfactory bulb was concentrated in layers that contain synapses of these neurons and have both high insulin binding and phosphotyrosine levels. Thus, IRS-1 and insulin receptors are coexpressed in discrete populations of neurons, suggesting a signal transduction mechanism by which insulin may influence metabolism and gene expression in the brain.