Two bills sponsored by the California Medical Association (CMA) have passed both houses of the California legislature and are now awaiting the Governor’s signature. The proposed legislation, Assembly Bill 512 and Senate Bill 306, seeks to simplify the prior authorization process that currently requires physicians to obtain approval from health plans before providing care.
The CMA points out that current prior authorization requirements can create administrative challenges for physicians and cause delays in patient treatment. These delays have sometimes led to severe health outcomes, including hospitalization and life-threatening events.
“On behalf of California’s physicians and patients, CMA applauds the Legislature for advancing thoughtful reforms that reduce bureaucratic red tape and put patients first,” said CMA President Shannon Udovic-Constant, M.D. “Together, AB 512 and SB 306 will help ensure that medical decisions are timely, data-driven, and rooted in clinical expertise – not paperwork or unnecessary delays. CMA thanks Assemblymember Harabedian and Senator Becker for their leadership in accelerating access to care.”
If enacted into law, AB 512—authored by Assemblymember John Harabedian—would require health plans to respond to electronic prior authorization requests within three business days for standard requests and within 24 hours for urgent care cases. For non-electronic requests, responses would be required within five business days for standard reviews and within 48 hours for urgent requests.
Senate Bill 306, introduced by Senator Josh Becker, aims to remove redundant prior authorizations for routine care. It would allow the California Department of Managed Health Care to waive prior authorization requirements when insurers approve certain services or prescriptions at least 90% of the time. The bill also introduces new transparency measures requiring health plans to report prior authorization data.
SB 306 received broad support with a vote tally of 76 AYE votes and one NO vote in the Assembly; it passed unanimously in the Senate. AB 512 was approved by a margin of 30-0 in the Senate and 67-2 in the Assembly. The CMA attributes this legislative progress to grassroots advocacy efforts led by physicians.
With both bills now on the Governor’s desk, CMA is urging swift action so changes can be implemented that address harmful delays faced by patients.
