California prior authorization bill clears legislative hurdle

A California bill aiming to reform prior authorization cleared one of the final hurdles for bills making their way to the governor’s desk, according to the California Medical Association. 

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On Aug. 15, lawmakers in the California State Senate and Assembly decided whether to advance or kill hundreds of bills based on their anticipated cost, according to an Aug. 19 CMA report. The prior authorization bill was among those that advanced. 

The bill would require the state’s department of managed care — after evaluating reports received by payers — to publish a list of the most frequently approved services, items and supplies. By Dec. 31, 2026, the department would issue instructions to payers regarding the date by which those services would no longer be subject to prior authorization. After 4 years, the department would publish a report analyzing the effect of ending those requirements. 

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