UnitedHealthcare Announces Policy Changes to Remove Prior Authorization for Various Healthcare Services
UnitedHealth Group's insurance division, UnitedHealthcare (NYSE:UNH), is set to remove prior authorization requirements for a wide range of healthcare services starting October 1. The changes will affect commercial plans, Medicare Advantage, ACA plans, and other coverage types across cardiology, genetic testing, chiropractic care, therapy services, and orthopedic procedures. By the end of 2026, UnitedHealthcare aims to eliminate prior authorization for 30% of healthcare services while introducing a rural waiver in November. The move comes amid growing criticism from providers and patients over delays caused by prior authorizations. The company expects these changes to improve relationships with physicians and hospitals, reduce administrative burdens, and enhance the member experience through faster access to care. Additionally, UnitedHealthcare plans to accelerate payments for around 1,400 rural and Critical Access Hospitals. However, there are concerns that removing authorization requirements could lead to increased healthcare utilization and higher medical costs. Insurers use prior authorizations as a cost-control tool; reducing them may result in more claims expenses if providers order additional services.
Tickers: $UNH
Topics: administrative efficiency policy change prior authorization UnitedHealth Group