California Bill Eliminating Prior-Authorization Barriers Signed into Law

California Governor Gavin Newsom signed legislation that allows the Department of Managed Health Care to exempt certain services from prior authorization when insurers routinely approve them, reports Becker’s Payer Issues. This reform is expected to reduce delays and administrative expenses, which can translate into lower total cost of care and improved timely access for patients. The policy is seen by proponents as a key move toward making care more affordable by cutting “friction costs” that raise patient and system expenditures.