California 2023-2024 Regular Session

California Senate Bill SB598

Introduced
2/15/23  
Introduced
2/15/23  
Refer
2/22/23  
Refer
3/22/23  
Refer
3/22/23  
Report Pass
4/13/23  
Report Pass
4/13/23  
Refer
4/17/23  
Refer
4/17/23  
Report Pass
5/18/23  
Report Pass
5/18/23  
Engrossed
5/24/23  
Engrossed
5/24/23  
Refer
6/1/23  
Refer
6/1/23  
Report Pass
7/13/23  
Report Pass
7/13/23  
Refer
8/14/23  

Caption

Health care coverage: prior authorization.

Impact

The bill proposes to amend laws governing both health insurers and health care service plans, establishing new conditions for prior authorization exemptions. Starting January 1, 2026, health professionals with a strong track record of compliance would no longer be bogged down by prior authorization for their recommended treatments. Healthcare plans would be required to monitor and evaluate approval rates annually to ensure that services routinely authorized (at least 95% approval rates) are no longer subjected to prior authorization, potentially expediting care and reducing administrative burdens.

Summary

Senate Bill 598, introduced by Senator Skinner, focuses on regulating health care coverage specifically relating to prior authorization processes required by health insurers and health care service plans. Under existing California law, health insurers must assess medical necessity through prior authorization which can delay access to care for patients. SB598 aims to simplify this process by eliminating the prior authorization requirement for healthcare services when a health professional's past authorization requests have been approved at a high rate—specifically, 90% or more over the previous year. The bill is designed to reduce bureaucratic obstacles and improve access to necessary health care for patients by easing the regulations on contracted health professionals.

Sentiment

The sentiment surrounding SB598 is generally positive among proponents who see it as a necessary reform that could lead to better patient outcomes and a more efficient healthcare system. However, there are concerns among some stakeholders regarding accountability and oversight in the process, with critics arguing that removing prior authorization might lead to unregulated care that could potentially affect quality. Overall, the discussion reflects a balance between the need for expedited service access and the necessity of maintaining strict care quality standards.

Contention

Notable points of contention include concerns over how the bill would affect insurers' ability to monitor care quality and control costs effectively. While proponents argue that simplifying the prior authorization process will lead to improved access to care, some critics fear it may reduce insurers' oversight capabilities which could inadvertently lead to unnecessary treatments being approved without adequate justification. The debate encompasses a broader discussion on the complexities of health care management versus patient access, which remains a critical focal point in health care legislation.

Companion Bills

No companion bills found.

Previously Filed As

CA SB516

Health care coverage: prior authorization.

CA SB306

Health care coverage: prior authorizations.

CA AB512

Health care coverage: prior authorization.

CA SB250

Health care coverage.

CA AB539

Health care coverage: prior authorizations.

CA SB561

Relative to prior authorizations for health care.

CA AB1880

Prior authorization and step therapy.

CA AB1468

Prior authorization.

CA AB347

Health care coverage: step therapy.

CA A1255

Updates requirements and standards for authorization and prior authorization of health care services.

Similar Bills

CA SB250

Health care coverage.

CA SB516

Health care coverage: prior authorization.

IN HB1091

Prior authorization.

CA AB2100

Medi-Cal: pharmacy benefits.

CA AB1880

Prior authorization and step therapy.

CA AB347

Health care coverage: step therapy.

SD SB87

Address preauthorization requirements for certain health care services and utilization review requirements for certain health benefit plans.

SD SB158

Address preauthorization requirements for certain health care services and utilization review requirements for certain health benefit plans.