Calif. utilization review reform modestly improved early treatment: RAND - Business Insurance

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Calif. utilization review reform modestly improved early treatment: RAND - Business Insurance Skip to content Register for free Search Search Log In Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Calif. utilization review reform modestly improved early treatment: RAND by Louise Esola Workers Comp Coverage , Workplace Safety Jul 20, 2026 California legislation that reduced utilization review requirements for certain early workers compensation treatments was associated with faster access to physical therapy but produced limited changes overall, according to a RAND report published Monday and sponsored by the California Department of Industrial Relations. Senate Bill 1160, which became law in 2018, eliminated prospective utilization review for certain guideline-supported treatments provided during the first 30 days after an injury for claims arising on or after Jan. 1, 2018. The measure was intended to reduce providers’ administrative burden and improve the timeliness and quality of care. Among injured workers with diagnoses for which physical therapy was recommended, the odds of receiving therapy within 30 days were 13% higher after the law took effect, RAND found. The average time to the first physical therapy visit declined to 11.9 days from 13.4 days. The odds of receiving guideline-supported braces or immobilizers increased about 11%, but the time to treatment did not change significantly. Researchers found no significant change in the use of recommended X-rays. The report also identified a 24% increase in the odds of receiving acupuncture for conditions for which it was not recommended, although actual utilization remained low, increasing to 2.1% from 2%. The odds of receiving magnetic resonance imaging fell 7%, even though MRIs were excluded from the law’s reduced review requirements. Data from two large claims administrators showed that approval rates for treatment requests submitted during the first 30 days generally exceeded 90% before and after the law. RAND cautioned, however, that the administrators’ results may not represent the broader system. Separate state audit data showed overall approval rates ranging from 65% to 74%. Researchers said the modest effects may reflect that many common early treatments were already being approved through existing prior authorization programs. RAND recommended that regulators standardize reporting of utilization review decisions and document differences among claims administrators’ prior authorization programs. It also said policymakers should examine whether streamlined review could extend beyond 30 days or cover additional treatments with strong clinical support. 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