California enacts law to streamline prior authorization and improve patient care

Dustin Corcoran, Chief Executive Officer at California Medical Association
Dustin Corcoran, Chief Executive Officer at California Medical Association - California Medical Association
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Governor Gavin Newsom has signed Senate Bill 306 into law, introducing changes to the prior authorization process in California. The bill, sponsored by the California Medical Association (CMA) and authored by Senator Josh Becker, aims to remove duplicate approval requirements and add new transparency rules to help patients receive care with fewer administrative delays.

Prior authorization requires physicians to get approval from health plans before treating patients. Critics have said this process can delay care and create unnecessary administrative work. The new law allows regulators to waive prior authorization for services that are usually approved and requires health plans to make data on approval patterns public.

CMA President Shannon Udovic-Constant, M.D., said, “This law is a decisive step toward ending wasteful prior authorization practices that too often delay or deny patients the care they need. By cutting out redundant requirements and increasing accountability, SB 306 puts patients’ health above paperwork. We thank Governor Newsom for his leadership in signing this reform into law and ensuring that California moves closer to a health care system where medical decisions are driven by clinical expertise rather than bureaucracy.”

The Legislature passed SB 306 with strong bipartisan support, showing widespread agreement on the need to streamline prior authorization to protect patient health and reduce administrative work for physicians.

SB 306 was included in the CMA’s sponsored legislative package for 2025.



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