Texas 2015 - 84th Regular

Texas Senate Bill SB843

Voted on by Senate
 
Out of House Committee
 
Voted on by House
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to prompt payment of health care claims, including payment for immunizations, vaccines, and serums.

Impact

The bill introduces significant changes to the existing claims process by stipulating that if an HMO fails to determine or adjudicate a clean claim by the mandated deadline, it must pay the provider not only the owed amount but also a penalty. These penalties are structured to incentivize timely payment, with amounts escalating based on how overdue the payments are. Additionally, the legislation specifies that claims should be submitted within a specific timeframe after services are provided, and that appeal deadlines for disputed payments should be extended to provide providers with ample opportunity to challenge decisions.

Summary

Senate Bill 843 seeks to enhance the prompt payment of health care claims, primarily addressing payments for immunizations, vaccines, and serums. This legislation amends various sections of the Insurance Code, establishing clearer guidelines and deadlines for health maintenance organizations (HMOs) and insurers regarding the payment of claims submitted by healthcare providers. It aims to ensure that claims are processed in a timely manner, thereby reducing the financial strain on healthcare providers and improving the overall healthcare delivery system.

Contention

While proponents argue that SB843 will protect healthcare providers from delayed payments and promote a more effective healthcare system, there are concerns regarding the enforcement and implications of these penalties. Critics worry that strict penalties may result in unintended consequences, such as heightened administrative burdens on HMOs and insurers, or increased costs that could lead to higher insurance premiums for consumers. Furthermore, ensuring compliance from various stakeholders within the healthcare industry remains a significant challenge as the bill is implemented.

Companion Bills

TX HB1433

Identical Relating to prompt payment of health care claims, including payment for immunizations, vaccines, and serums.

Previously Filed As

TX SB1286

Relating to prompt payment deadlines for health benefit plan claims affected by a catastrophic event.

TX HB3196

Relating to prompt payment deadlines for health benefit plan claims affected by a catastrophic event.

TX HB1364

Relating to a direct payment to a health care provider in lieu of a claim for benefits under a health benefit plan.

TX SB583

Relating to a direct payment to a health care provider in lieu of a claim for benefits under a health benefit plan.

TX HB633

Relating to the method of payment for certain health care provided by a hospital.

TX SB869

Relating to suits affecting the parent-child relationship, including the payment and enforcement of support ordered in a suit affecting the parent-child relationship.

TX HB790

Relating to the processes for and the adjudication and payment of certain claims under the workers' compensation system.

TX HB2246

Relating to suits affecting the parent-child relationship, including the payment and enforcement of support ordered in a suit affecting the parent-child relationship.

TX HB5113

Relating to utilization review requirements for a health care service provided by a network physician or provider.

TX HB2002

Relating to preferred provider benefit plan out-of-pocket expense credits for payments made by an insured directly to a physician or health care provider.

Similar Bills

TX HB2750

Relating to the regulation of certain market conduct activities of certain life, accident, and health insurers and health benefit plan issuers; providing civil liability and administrative and criminal penalties.

TX SB1257

Relating to the regulation of certain market conduct activities of certain life, accident, and health insurers and health benefit plan issuers; providing civil liability and administrative and criminal penalties.

TX HB1433

Relating to prompt payment of health care claims, including payment for immunizations, vaccines, and serums.

TX HB4585

Relating to the submission, payment, and audit of certain claims for and utilization review of health services, including services provided under the Medicaid managed care and child health plan programs.

TX HB4300

Relating to expedited credentialing of certain physician assistants and advanced practice nurses by managed care plan issuers.

TX HB1266

Relating to expedited credentialing of certain physician assistants and advanced practice nurses by managed care plan issuers.

TX SB2077

Relating to physician residency programs, including physicians shortage residency programs and oncology training in certain residency programs.

TX SB2332

Relating to the regulation of preferred provider benefit plans regarding network adequacy, contracting and reimbursement activities.