How does prior authorization work on a private PPO?

Prior authorization is a private health plan's requirement that a provider get approval from the insurer before certain services, drugs, or equipment will be covered, and failure to obtain it can lead to a denied claim (HealthCare.gov Glossary — Prior Authorization).

Reviewed by Jason Burns, Editor & Steward · Last verified 2026-07-19

What it means

  • Common items requiring prior authorization include advanced imaging, specialty drugs, and non-emergency inpatient care.
  • Approval is coverage-based, not a guarantee of payment.

Action steps

  1. Ask the ordering provider to confirm prior authorization is on file before the service.
  2. Keep the authorization number with your medical records.

Risks & deadlines

  • Emergency care generally does not require prior authorization.

Sources

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