(SACRAMENTO) Governor Gavin Newsom signed into law Assembly Bill 1041 (Bennett) which improves patient access to care and boosts small and independent practices by streamlining the physician credentialing process.
For too long, California physicians have faced months-long delays when trying to join health plan networks. These delays are caused by outdated, inconsistent, and duplicative credentialing requirements that vary from plan to plan.
Credentialing delays are especially harmful to independent and small-practice physicians who lack the administrative resources of large health systems and physician groups. These barriers leave smaller clinics short-staffed and force patients to wait longer for treatment, often in rural, underserved areas of the state.
The new law, AB 1041, creates a single, standardized credentialing application for all health plans and requires plans to act on completed applications within 90 days.
"Can you imagine being unable to reach your doctor because of redundant paperwork?" said Assemblymember Steve Bennett (D-Ventura). "No one should face delay in acquiring care because of duplicative, time-consuming administrative forms. This bill cuts red tape so doctors can get credentialed faster and patients can get the care they need."
"This law puts time and control back in the hands of doctors and helps patients get care faster. AB 1041 marks a major win for patients, physicians, and small businesses across California," said Dr. Omer Deen, the Board Chair of Physicians Association of California. "When independent physicians come together, we can shape policy and drive real change for our patients and our profession."
Before a physician can see patients under a specific health insurance plan, the plan must first approve the provider's credentialing application. This process verifies the physician's education, training, and professional history to ensure they meet the plan's standards. The credentialing process is how health plans determine whether to include a doctor in their network, which is essential for the doctor to be reimbursed for treating patients with that insurance.
Steve Bennett represents the 38th Assembly District, which includes Camarillo, Fillmore, Ojai, Oxnard, Port Hueneme, Santa Paula, and Ventura. He is chair of the Budget Subcommittee No. 4 on Climate Change, Natural Resources, Energy and Transportation.
CONTACT: Michelle Sevilla, Michelle.Sevilla@asm.ca.gov, (805) 394-8842