Insulate Garage Ceiling around Light Fixtures.

Two bedrooms and a bathroom are above part of my garage. I'm looking to insulate them following the advice here: https://basc.pnnl.gov/resource-guides/insulating-existing-floors-over-garage where I would add insulation under the existing drywall and then add new, fire rated drywall beneath it, which seems straightforward. My concern is that there are two drop-down light receptacles in the area, and I'm not sure how to address those. Do I just recess some cams underneath and essentially move them down to where the new drywall will be? Should I worry about the new insulation touching where the romex drops down?