As California enters 2026, new health-related laws taking effect on Jan. 1 will directly impact those living with chronic and rare diseases.
These five bills signed into law by Gov. Gavin Newsom are expected to bring meaningful improvements to patient care, access, and affordability. The California Chronic Care Coalition annually reviews health legislation to ensure the needs and voices of patients are prioritized. This year, CCCC is spotlighting these bills as the top 5 affecting patients in the state:
SB 40
This bill limits out-of-pocket costs for insulin to $35 per 30-day supply and prohibits step therapy as a prerequisite for coverage.
SB 41
This bill establishes a comprehensive licensing and regulatory framework for pharmacy benefit managers (PBMs) in California, including requirements for pass-through pricing, rebate transparency,y and a fiduciary-style duty to plans and enrollees.
AB 1415
This bill expands the Office of Health Care Affordability’s authority by broadening the definition of “health care entity” to capture management services organizations, private equity groups, and hedge funds, and requiring them to provide advance notice and data for significant health care transactions.
SB 351
This bill targets private equity firms, investment companies that buy and manage physician and dental practicesprimarilyy for profit. It will prevent the firms from interfering with clinical decisions and ensure that healthcare providers retain full authority for patient care. 2025-26 Budget Act Facing a structural deficit, California saw significant efforts to reduce spending in the health sector, including reductions for in-home supportive services for adults, new $100 monthly premiums for some immigrants on Medi-Cal with unsatisfactory documentation starting in 2027, freezes for new Medi-Cal enrollment for certain populations, and increased utilization management, which can cause delay in care and burdensome hurdles for patients and providers, as well as eliminating Medi-Cal coverage for GLP-1 medications, which are effective, FDA-approved treatments for obesity.
“We were thrilled to have helped secure the passage of SB 40 and 41,” said Liz Helms, President & CEO of the CCCC. “Both are Senator (Scott) Wiener bills. He has been a great supporter of issues facing patients. We encourage everyone to pay attention to bills being worked on at the Capitol that will directly affect you.”
To learn about health bills in 2026, you can visit the CCCC website or the State of California site for more. For more information on the legislative process, visit the California Senate website.