Oh my goodness.  Oh my goodness.  The first grade teacher is NOT qualified - and I think we all agree to that - to do what they are asking and the school is putting not only the child but the teacher at risk here.  You need to seek guidance from an attorney in your area that knows what the health law mandates for schools ad school nurses and look at it in conjunction with a child who has a medical condition (disability).  You may need to sue the school board or school district to provide the necessary party on site to deal with the child's illness.  The teacher should ABSOLUTELY NOT be dispensing insulin tot he child.  That is ABSOLUTELY illegal.  Please do not put the child at risk by allowing this to continue.  Pull the child out of school on a pretense if you need.  And seek legal help NOW.  Good luck.