All Roll Calls
Yes: 203 • No: 1
CaliforniaSB 3062025-2026 Regular SessionSenateWALLET
Health care coverage: prior authorizations.
Sponsored By: Josh Becker (Democratic)
Signed by Governor
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Bill Overview
Analyzed Economic Effects
7 provisions identified: 4 benefits, 2 costs, 1 mixed.
Phasing out prior authorization statewide
The law creates a statewide process to end prior authorization for routine services that are almost always approved. By July 1, 2026, state regulators issue instructions and a standard template. By December 31, 2026, plans and insurers must report all services needing prior approval, approval or modification rates, and other data, including from any delegated entities. Regulators then identify services with a 90% or higher approval or modification rate and publish the list by July 1, 2027. Plans and insurers must stop requiring prior authorization for listed services by a regulator‑set date, no later than January 1, 2028.
Payment protection when prior auth ends
When a service no longer needs prior authorization, it counts as authorized for payment. Plans and insurers cannot deny or cut contracted payments for that service unless the provider failed to substantially perform it. This protects provider reimbursement and supports steady access for patients.
High‑tier drugs and out‑of‑network need OK
Some services still need prior authorization. This includes outpatient drugs on tier 3 or 4, off‑label drug or device uses, experimental or investigational services, and novel uses without solid evidence. Services from out‑of‑network or noncontracting providers can also still require approval. These rules apply even if the service appears on the state’s no‑authorization list.
Medi‑Cal and most specialized plans excluded
These changes do not apply to Medi‑Cal managed care plan contracts. Specialized plans and specialized insurers are also excluded, except when they provide essential health benefits. People in those plans may not see prior authorization removed under this law.
Plans stay responsible; faster rollout
Plans cannot shift these legal duties to other companies unless they add a new contract term, and the plan still must comply and report. The departments can use letters, forms, and data requests to implement the law without formal rulemaking and must consult each other. The Department of Insurance may hire consultants with conflict‑of‑interest safeguards under streamlined state purchasing rules. These tools speed consistency and keep plans accountable.
State report on impacts after removal
Within four years after the stop date for prior authorization, each department must publish an impact report. Plans and insurers must provide data on service volumes, requests and decisions, administrative costs, timely access, enrollee outcomes, and any reinstatements. This checks how the changes affect costs, access, and health.
Tight rules to bring back prior auth
A plan or insurer can ask the state to reinstate prior authorization for a specific service for good cause, like higher costs, lower quality, or fraud. The department must decide within 60 days after it has all needed information, and no reinstatement is allowed until it is approved. A plan or insurer may also reinstate prior authorization for a single provider only with clear and convincing evidence of fraud or a harmful pattern of care. Any provider‑level action is limited to that provider and must follow the law.
Sponsors & Cosponsors
Sponsor
Josh Becker
Democratic • Senate
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
Senate vote • 9/9/2025
Item 43 — Senate SFLOOR
Yes: 40 • No: 0
House vote • 9/8/2025
Item 211 — Assembly AFLOOR
Yes: 76 • No: 1
legislature vote • 8/29/2025
Vote in CX25
Yes: 11 • No: 0
legislature vote • 7/15/2025
Vote in CX08
Yes: 16 • No: 0
Senate vote • 5/28/2025
Item 139 — Senate SFLOOR
Yes: 37 • No: 0
legislature vote • 5/23/2025
Vote in CS61
Yes: 6 • No: 0
legislature vote • 5/12/2025
Vote in CS61
Yes: 7 • No: 0
legislature vote • 4/23/2025
Vote in CS60
Yes: 10 • No: 0
Actions Timeline
Chaptered by Secretary of State. Chapter 408, Statutes of 2025.
10/6/2025SenateApproved by the Governor.
10/6/2025legislatureEnrolled and presented to the Governor at 3 p.m.
9/16/2025legislatureAssembly amendments concurred in. (Ayes 40. Noes 0. Page 2712.) Ordered to engrossing and enrolling.
9/9/2025SenateIn Senate. Concurrence in Assembly amendments pending.
9/8/2025SenateRead third time. Passed. (Ayes 76. Noes 1. Page 2999.) Ordered to the Senate.
9/8/2025HouseRead third time and amended.
9/4/2025HouseOrdered to third reading.
9/4/2025HouseRead second time. Ordered to third reading.
9/3/2025HouseRead second time and amended. Ordered to second reading.
9/2/2025HouseFrom committee: Do pass as amended. (Ayes 11. Noes 0.) (August 29).
8/29/2025HouseAugust 20 set for first hearing. Placed on APPR. suspense file.
8/20/2025HouseRead second time and amended. Re-referred to Com. on APPR.
7/17/2025HouseFrom committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 16. Noes 0.) (July 15).
7/16/2025HouseReferred to Com. on HEALTH.
6/5/2025HouseIn Assembly. Read first time. Held at Desk.
5/28/2025HouseRead third time. Passed. (Ayes 37. Noes 0. Page 1300.) Ordered to the Assembly.
5/28/2025SenateRead second time. Ordered to third reading.
5/23/2025SenateFrom committee: Do pass. (Ayes 6. Noes 0. Page 1195.) (May 23).
5/23/2025SenateSet for hearing May 23.
5/16/2025SenateMay 12 hearing: Placed on APPR. suspense file.
5/12/2025SenateSet for hearing May 12.
5/2/2025SenateRead second time and amended. Re-referred to Com. on APPR.
4/28/2025SenateFrom committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 10. Noes 0. Page 868.) (April 23).
4/24/2025SenateFrom committee with author's amendments. Read second time and amended. Re-referred to Com. on HEALTH.
4/10/2025Senate
Bill Text
Chaptered
10/6/2025
Enrolled
9/12/2025
Amended Assembly
9/4/2025
Amended Assembly
9/2/2025
Amended Assembly
7/17/2025
Amended Senate
4/28/2025
Amended Senate
4/10/2025
Introduced
2/10/2025