California Gov. Gavin Newsom has signed a bill into law allowing the state’s Department of Managed Health Care to waive prior authorizations for services or prescriptions that payers approve at least 90% of the time.
Senate Bill 306 also requires health plans to report prior authorization data.
The bill was supported by the California Medical Association, which said the law will help “eliminate redundant prior authorization barriers.”
This law is a decisive step toward ending wasteful prior authorization practices that too often delay or deny patients the care they need,” CMA President Shannon Udovic-Constant, MD, said in an Oct. 7 news release. “By cutting out redundant requirements and increasing accountability, SB 306 puts patients’ health above paperwork.”
