CAHP Fact Sheet: Managed Care Organization (MCO) Tax Proposal in May Revise Will Raise the Cost of Health Care Coverage by $1.5 Billion
California’s Workers, Employers and Families Can’t Afford Higher Health Care Premiums 83% of Californians say lowering health care costs should be a top priority for lawmakers. The state even created the Office of Health Care Affordability (OHCA) to rein in health care spending. Yet the proposed MCO Tax in the Governor’s May Revise is estimated to increase the cost of health care coverage by $1.5 billion each year.
CAHP Press Release: California State Senate Approves CAHP Sponsored Bill to Lower Prescription Drug Costs
The California State Senate has approved SB 1094 (Weber Pierson). This landmark bill, which passed 36-0, is estimated to reduce prescription drug costs in California by $88 million annually and improve health care affordability for millions of Californians. Sponsored by the California Association of Health Plans, SB 1094 allows health plans and pharmacists more flexibility to offer patients safe, effective, lower cost biosimilars in place of higher cost brand-name biologic drugs.
CAHP Press Release: California Association of Health Plans Responds to Governor’s May Budget Revise
The California Association of Health Plans today issued the following statement in response to Governor Gavin Newsom’s May Revision of the 2026-2027 state budget proposal.
CAHP Press Release: CAHP Fact Sheet Shows Benefit Mandate Bills Would Increase Premiums By Nearly $634 Million
The California Association of Health Plans (CAHP) today released a new fact sheet highlighting a number of new health care benefit mandate bills introduced this year by state lawmakers that would altogether increase health care premiums by nearly $634 million if signed into law. This push by the legislature for new, expensive health care mandates comes at a time when California is working to improve health care affordability through the Office of Health Care Affordability (OHCA).
CAHP Fact Sheet: New Health Care Mandates Would Drive Up Premiums By Nearly $634 Million, Jeopardizing Affordability
California’s health plans provide health care coverage for more than 28 million people and are dedicated to ensuring that everyone has access to high quality, affordable health care services. In 2026, California lawmakers are considering many new health care mandate bills that, as proposed, would altogether drive up premiums by nearly $634 million. This push by the legislature for new, expensive health care mandates comes at a time when California is trying to improve health care affordability.
CAHP Fact Sheet: California’s Health Care Dollar
The vast majority of health plan spending in California goes to pay for medical services for hospital and doctor visits, prescription drugs, lab tests, x-rays, and medical supplies. In 2024, health plans spent $256 billion, or 87 cents out of every health plan dollar, on medical care.