What is the main purpose of pre-authorization in health insurance?

The main purpose of pre-authorization in health insurance is to obtain permission for a service or procedure before it is performed. This process is crucial because it ensures that the health insurance provider evaluates the necessity and appropriateness of the proposed medical service ahead of time. By requiring pre-authorization, insurance companies aim to manage costs effectively and ensure that patients receive care that aligns with their policies and medical guidelines.

Pre-authorization serves to authorize coverage for specific services, which can include surgeries, treatments, or tests. This helps protect both the insurer and the patient from unexpected expenses by confirming that the service will be covered under the patient's plan before it is provided. It helps in preventing billing issues that might occur if the service is performed without prior approval.

In contrast, the other options do not capture this critical function of pre-authorization. Confirming appointment schedules, verifying a patient's current health status, and updating patient records may be important aspects of healthcare administration but do not directly relate to obtaining prior permission for medical services as part of the insurance coverage and reimbursement process.