Texas 2009 - 81st Regular

Texas House Bill HB1077 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	81R2451 PMO-F
2	2	By: Chisum H.B. No. 1077
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the operation of health care sharing ministries.
8	8	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	9	SECTION 1. Members of health care sharing ministries
10	10	voluntarily assist fellow members with the payment of medical
11	11	expenses. In many instances, health care sharing ministries
12	12	provide assistance to individuals who are without health insurance
13	13	coverage and, in doing so, provide important services that the
14	14	state would otherwise have to provide. Due to their beneficial work
15	15	and religious nature, health care sharing ministries should be
16	16	statutorily recognized as religious organizations helping to
17	17	fulfill the religious beliefs of ministry members and should not be
18	18	treated in the same manner as secular health care coverages,
19	19	including insurance.
20	20	SECTION 2. Title 8, Insurance Code, is amended by adding
21	21	Subtitle K to read as follows:
22	22	SUBTITLE K. NONINSURANCE HEALTH COVERAGES
23	23	CHAPTER 1680. HEALTH CARE SHARING MINISTRIES
24	24	SUBCHAPTER A. GENERAL PROVISIONS
25	25	Sec. 1680.001. SHORT TITLE. This chapter may be cited as
26	26	the Health Care Sharing Ministries Freedom to Share Act.
27	27	Sec. 1680.002. DEFINITION. In this chapter, "health care
28	28	sharing ministry" means:
29	29	(1) a health care cost sharing arrangement among
30	30	individuals of the same religion based on the individuals'
31	31	sincerely held religious beliefs and administered by a nonprofit
32	32	religious organization; or
33	33	(2) a faith-based, nonprofit organization that is tax
34	34	exempt under the Internal Revenue Code of 1986 and that:
35	35	(A) limits membership in the organization to
36	36	individuals of a similar faith;
37	37	(B) acts as a facilitator among members who have
38	38	financial or medical-related needs and members with the present
39	39	ability to assist those with financial or medical needs, all in
40	40	accordance with the organization's criteria, through payments from
41	41	one member to another;
42	42	(C) notifies members of amounts that members may
43	43	contribute; and
44	44	(D) provides a written monthly statement to all
45	45	members listing the total dollar amount of qualified needs
46	46	submitted to the organization as well as the total dollar amount
47	47	actually assigned to members for contribution.
48	48	Sec. 1680.003. CONSTRUCTION WITH OTHER LAW. (a) Chapter
49	49	76, Health and Safety Code, does not apply to a health care sharing
50	50	ministry.
51	51	(b) Notwithstanding any other provision of this code, a
52	52	health care sharing ministry is exempt from the operation of the
53	53	insurance laws of this state and is not subject to the
54	54	commissioner's oversight.
55	55	Sec. 1680.004. ENFORCEMENT BY ATTORNEY GENERAL.
56	56	Notwithstanding any other law, the office of the attorney general
57	57	has jurisdiction over health care sharing ministries to ensure
58	58	compliance with this chapter and for:
59	59	(1) the prevention and prosecution of deceptive trade
60	60	practices and fraud; and
61	61	(2) consumer protection.
62	62	Sec. 1680.005. NO ASSUMPTION OF RISK. (a) Members of a
63	63	health care sharing ministry do not assume any risk or make any
64	64	promise to pay the financial or medical needs of other members by
65	65	contributing to the ministry.
66	66	(b) A health care sharing ministry does not assume any risk
67	67	or make any promise to pay the financial or medical needs of a
68	68	member by accepting contributions from other members.
69	69	[Sections 1680.006-1680.050 reserved for expansion]
70	70	SUBCHAPTER B. OPERATION OF MINISTRIES
71	71	Sec. 1680.051. NOTICE REQUIRED. Each application for
72	72	membership in a health care sharing ministry distributed directly
73	73	or on behalf of a health care sharing ministry must include a notice
74	74	that is printed in no smaller than 12-point font and that reads
75	75	substantially as follows:
76	76	"This health care sharing ministry is not offering an
77	77	insurance product and is not being offered by or
78	78	through an insurance company. This health care
79	79	sharing ministry is also not offering a discount
80	80	health care plan. Whether anyone chooses to assist you
81	81	with your medical bills is voluntary, as no other
82	82	member may be compelled to contribute toward your
83	83	medical bills. This health care sharing ministry
84	84	program is not insurance or a substitute for
85	85	insurance. Whether you receive any payments for
86	86	medical expenses and whether this health care sharing
87	87	ministry program continues to operate, you remain, to
88	88	the extent allowable under law, personally and fully
89	89	responsible for the payment of your own medical
90	90	bills."
91	91	Sec. 1680.052. ACKNOWLEDGMENT OF NOTICE; RETENTION. (a) A
92	92	health care sharing ministry shall require any adult member to sign
93	93	an acknowledgment that the member has read and understands the
94	94	notice described by Section 1680.051. The signature of an adult
95	95	member constitutes acceptance for any child of the member who is a
96	96	minor or dependent of the member.
97	97	(b) A health care sharing ministry shall retain the signed
98	98	acknowledgment described by Subsection (a) until the second
99	99	anniversary of the last date the member retains membership in the
100	100	health care sharing ministry.
101	101	Sec. 1680.053. PAYMENT AMONG MEMBERS. The means of payment
102	102	among members may include electronic transfer or a trust
103	103	established solely for the benefit of members that is audited
104	104	annually by an independent auditing firm.
105	105	Sec. 1680.054. COLLATERAL SHARING ACTIVITIES. A health
106	106	care sharing ministry may provide:
107	107	(1) for members to share in bills when members
108	108	experience disability; and
109	109	(2) health counseling, education, and resources to
110	110	ministry members.
111	111	SECTION 3. Section 101.055(a), Insurance Code, is amended
112	112	to read as follows:
113	113	(a) Section 101.051(b)(7) does not apply to:
114	114	(1) a program otherwise authorized by law that is
115	115	established:
116	116	(A) by a political subdivision of this state;
117	117	(B) by a state agency; or
118	118	(C) under Chapter 791, Government Code; [or]
119	119	(2) a multiple employer welfare arrangement that is
120	120	fully insured as defined by 29 U.S.C. Section 1144(b)(6); or
121	121	(3) a health care sharing ministry operated under
122	122	Chapter 1680.
123	123	SECTION 4. Section 76.002, Health and Safety Code, is
124	124	amended to read as follows:
125	125	Sec. 76.002. CONSTRUCTION WITH [APPLICABILITY OF] OTHER
126	126	LAW. (a) In addition to the requirements of this chapter, a
127	127	program operator or marketer is subject to the applicable consumer
128	128	protection laws under Chapter 17, Business & Commerce Code.
129	129	(b) This chapter does not apply to a health care sharing
130	130	ministry operated under Chapter 1680, Insurance Code.
131	131	SECTION 5. This Act takes effect immediately if it receives
132	132	a vote of two-thirds of all the members elected to each house, as
133	133	provided by Section 39, Article III, Texas Constitution. If this
134	134	Act does not receive the vote necessary for immediate effect, this
135	135	Act takes effect September 1, 2009.