Sacramento committed five turnovers in the period, two of which came on consecutive possessions and led to layups by Lawson.
The Kings were never really in it. They led by one early in the game but a 28-7 run by Denver made it 35-15 late in the first quarter and trailed 39-25 heading into the second.
"I don't think it took us out emotionally but when you look up at that board and you see 39 up there, you know you have to have a huge second quarter to get back under control," Sacramento coach Keith Smart said.
The Kings showed brief life early in the second quarter when Marcus Thornton hit a 3-pointer to cut it 39-28, but the lead never dipped below double digits.
Denver's bench, led by JaVale McGee, scored 14 points in the second quarter as the lead grew to 22. Iguodala's 3-pointer with 10 seconds left in the second finished the Nuggets best half of the season.
"Ty had it going, he started things off and we got on a roll," Iguodala said.
Denver opened the third quarter on a 17-6 run to lead 88-55.
"It's always hard. Especially when you play a game the night before and you get in real late," Smart said. "You have to play a controlled basketball game. I though our passes were shaky that lead to 25 points on 20 turnovers. Fatigue or whatever it might be, it happens sometimes in this building."
NOTES: The Nuggets tied a season high for points in a quarter when they scored 39 in the first. ... Denver is 14-3 at home against the Kings dating back to the 2003-04 season. ... Cousins failed to record a double-double for the second straight game. Before that he had a streak of six consecutive double-doubles.