Usually means: Approval before service or payment.
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We found 4 dictionaries that define the word preauthorization:

General (3 matching dictionaries)
  1. preauthorization: Merriam-Webster
  2. preauthorization: Wordnik
  3. preauthorization: Wiktionary

Medicine (1 matching dictionary)
  1. preauthorization: Medical dictionary

Definitions from Wiktionary (preauthorization)

adjective:  Prior to authorization.
noun:  Authorization given in advance.

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