American Medical Association: Insurer Inaction on Prior Authorization Reform Requires Federal Response
More than two years after a landmark consensus statement (https://www.ama-assn.org/sites/ama-assn.org/files/corp/media-browser/public/arc-public/prior-authorization-consensus-statement.pdf) signaled insurers were open to reforming the arduous prior authorization process, their subsequent inaction has translated into stalled progress and ongoing burdens for patients and physicians. According to new survey (https://www.ama-assn.org/system/files/2020-06/prior-authorization-survey-2019.pdf) data released by the
"These new survey results highlight that practices continue to devote significant time--an average of nearly two business day per week per physician--navigating prior authorization's administrative obstacles. Even more concerning, this process can harm our patients," said AMA President
H.R. 3107, bipartisan legislation introduced by Representatives
"My legislation will go a long way in addressing what this survey makes clear--physicians and other health care professionals are spending too much of their time dealing with burdensome and archaic prior authorization requests when they should be caring for people," said DelBene. "Prior authorization can and should be used appropriately to guarantee appropriate patient care and avoid unnecessary costs and my legislation sets up the guardrails to make that happen and dramatically ease physician burden and burnout. Thank you to my bipartisan colleagues, Rep.
"These much-needed improvements to Medicare Advantage and the prior authorization process will ensure that medically necessary care is not delayed or denied for our seniors," said Kelly. "I, along with my colleagues, Reps. Marshall, DelBene, and Bera, want to empower the
"As a practicing physician for over 25 years, my top priority has always been to provide quality care to my patients, and I continue to carry that charge as a policymaker," said
"As a doctor, I am committed to relieving unnecessary administrative burdens on practicing physicians, which will improve quality of care for patients," said
In
The newly released AMA survey results reflect the limited progress (https://www.ama-assn.org/system/files/2020-06/prior-authorization-reform-progress-update-2019.pdf) that health plans have made toward implementing each of the five areas of prior authorization reform outlined in the consensus statement.
* Selective application of requirements.
Insurers should exempt physicians with prescribing patterns that meet evidence-based guidelines or with high approval rates from prior authorization, according to the consensus statement. However, only 7 percent of physicians report contracting with health plans that offer programs that exempt providers from prior authorization.
* Adjustment of the volume of requirements.
Insurers should regularly review drugs and services subject to prior authorization and remove those that that show "low variation in utilization or low prior authorization denial rates," according to the consensus statement. But most physicians (87 and 82 percent, respectively) report the number of prescription medications and medical services needing prior authorization has grown over the past five years.
* Improved transparency.
Insurers should "encourage transparency and easy accessibility of prior authorization requirements, criteria, rationale, and program changes," the consensus statement reads. However, almost seven in 10 physicians (67 percent) report that it is difficult to determine whether a drug or service requires prior authorization.
* Protection for continuity of patient care.
Insurers should "minimize disruptions in needed treatment," including "minimizing repetitive prior authorization requirements," as stated in the consensus statement. However, most physicians (83 percent) report that prior authorization interferes with continuity of care, such as resulting in missed doses or interruptions in chronic treatment.
* Automation through standardized processes.
Efforts should be made to speed the adoption of existing national standards for electronic transactions for prior authorizations, according to the consensus statement. However, physicians still report phone and fax as the most commonly used methods for completing prior authorization requirements.


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