On March 19, 2025, the California Department of Managed Health Care (DMHC) issued an All Plan Letter (APL 25-005) directing its regulated health plans to provide specific flexibilities to providers who were displaced by the devastating wildfires in Los Angeles and Ventura counties earlier this year.

The guidance  requires plans to:

• Extend the duration of existing prior authorizations by 180 calendar days so providers can focus on providing care to enrollees rather than having to re-request prior authorization for previously authorized services.
• Extend the minimum timeframes for contracted and non-contracted providers to submit claims to at least 365 days from the date of service.
• If a plan believes it overpaid a provider, extend the minimum time for the provider to dispute the overpayment from 30 working days to 180 calendar days.
• For a period of at least 6 months from the date of the guidance, allow displaced providers to deliver care from appropriate alternative settings, such as mobile clinics or temporary locations.
• Create a public-facing wildfire resource webpage for providers to easily access information without needing to first log into the health plan’s provider portal.

While DMHC had previously issued an All Plan Letter (APL 25-001) directing health plans to ensure that patients have access to medically necessary care and prescription drugs, it only “encouraged” them to implement additional administrative flexibilities, such as relaxing requirements around prior authorization and extending claims filing deadlines.

The California Medical Association (CMA) had urged DMHC to take additional steps to ensure that physician practices affected by the Southern California Wildfires can continue to deliver patient care without undue administrative obstacles or financial strain.

This latest APL requires plans to implement these flexibilities, and provide documentation to DMHC by April 21, 2025, showing that they are in compliance.