| 1 | 1 | | 81R6229 AJA-F |
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| 2 | 2 | | By: Rodriguez H.B. No. 1369 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to unfair claim settlement practices by an insurer that |
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| 8 | 8 | | issues a preferred provider benefit plan. |
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| 9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 10 | 10 | | SECTION 1. Section 541.060, Insurance Code, is amended by |
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| 11 | 11 | | adding Subsection (c) to read as follows: |
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| 12 | 12 | | (c) It is an unfair method of competition or an unfair or |
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| 13 | 13 | | deceptive act or practice in the business of insurance for an |
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| 14 | 14 | | insurer that issues a preferred provider benefit plan under Chapter |
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| 15 | 15 | | 1301 to compute the insured's coinsurance for out-of-network |
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| 16 | 16 | | services otherwise available under the plan on an amount other than |
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| 17 | 17 | | the nonpreferred provider's billed charge. |
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| 18 | 18 | | SECTION 2. The change in law made by this Act applies only |
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| 19 | 19 | | to computation of coinsurance under a preferred provider benefit |
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| 20 | 20 | | plan delivered, issued for delivery, or renewed on or after the |
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| 21 | 21 | | effective date of this Act. Computation of coinsurance under a |
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| 22 | 22 | | preferred provider benefit plan delivered, issued for delivery, or |
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| 23 | 23 | | renewed before the effective date of this Act is governed by the law |
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| 24 | 24 | | in effect immediately before the effective date of this Act, and |
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| 25 | 25 | | that law is continued in effect for that purpose. |
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| 26 | 26 | | SECTION 3. This Act takes effect immediately if it receives |
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| 27 | 27 | | a vote of two-thirds of all the members elected to each house, as |
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| 28 | 28 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 29 | 29 | | Act does not receive the vote necessary for immediate effect, this |
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| 30 | 30 | | Act takes effect September 1, 2009. |
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