Health plans would face a 30-day deadline for rare-disease drug requests
For a specialist’s request for the only approved drug for a rare disease, a health plan or insurer would have 30 days to decide whether to cover it.
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What it does
For certain rare-disease drugs, health plans and insurers must decide on coverage within 30 days. If they do not decide or a dispute remains, they must approve the request.
Argument forPeople with rare diseases might get a needed treatment sooner because plans and insurers must approve it if they miss the 30-day deadline.
Argument againstPlans and insurers might have to approve a drug before resolving a dispute, which could make it harder to correct a mistaken request.
More detail
Health plans and insurers must decide whether to approve coverage before a patient can get certain prescription drugs. This covers health care service plans and health insurers, for a disease affecting fewer than 200,000 people in the United States. The requested drug must be FDA-approved to treat that disease. This applies only when a specialist with expertise in the disease says the drug is medically necessary and it is the only FDA-approved treatment for that rare disease. A plan must immediately approve the request if it has not decided by the deadline or a dispute is still ongoing then. The plan rule does not apply to Medi-Cal managed care contracts. The rule applies to plan contracts and insurance policies issued, changed, or renewed on or after January 1, 2027. The 30 days begin when a provider or staff member sends the request to the plan, insurer, or its delegate.
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More on this bill
Where it stands
Introduced
Passed Assembly
Passed Senate
To Governor
Became Law
Looking ahead
No hearings or votes scheduled.
History
2026
Sep 27Chaptered by Secretary of State - Chapter 557, Statutes of 2026.Latest