LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION March 23, 2009 TO: Honorable John T. Smithee, Chair, House Committee on Insurance FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB2256 by Hancock (Relating to requirements for contracts between physicians, hospitals, and health benefit plans.), As Introduced No significant fiscal implication to the State is anticipated. The bill would amend the Insurance Code to prohibit certain exclusive contracts or the granting of exclusive privileges between physicians, hospitals, and certain health benefit plans. It also would provide for the establishment of network adequacy standards. The bill would require a health benefit plan to submit information to the Texas Department of Insurance (TDI) about the methods used to compute out-of-network reimbursements. The bill would require TDI to adopt rules regarding the implementation of the bill. TDI indicates that it can absorb the costs associated with the bill within its current resources. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies:323 Teacher Retirement System, 327 Employees Retirement System, 454 Department of Insurance, 710 Texas A&M University System Administrative and General Offices, 720 The University of Texas System Administration LBB Staff: JOB, KJG, CH
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION
March 23, 2009
TO: Honorable John T. Smithee, Chair, House Committee on Insurance FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB2256 by Hancock (Relating to requirements for contracts between physicians, hospitals, and health benefit plans.), As Introduced
TO: Honorable John T. Smithee, Chair, House Committee on Insurance
FROM: John S. O'Brien, Director, Legislative Budget Board
IN RE: HB2256 by Hancock (Relating to requirements for contracts between physicians, hospitals, and health benefit plans.), As Introduced
Honorable John T. Smithee, Chair, House Committee on Insurance
Honorable John T. Smithee, Chair, House Committee on Insurance
John S. O'Brien, Director, Legislative Budget Board
John S. O'Brien, Director, Legislative Budget Board
HB2256 by Hancock (Relating to requirements for contracts between physicians, hospitals, and health benefit plans.), As Introduced
HB2256 by Hancock (Relating to requirements for contracts between physicians, hospitals, and health benefit plans.), As Introduced
No significant fiscal implication to the State is anticipated.
No significant fiscal implication to the State is anticipated.
The bill would amend the Insurance Code to prohibit certain exclusive contracts or the granting of exclusive privileges between physicians, hospitals, and certain health benefit plans. It also would provide for the establishment of network adequacy standards. The bill would require a health benefit plan to submit information to the Texas Department of Insurance (TDI) about the methods used to compute out-of-network reimbursements. The bill would require TDI to adopt rules regarding the implementation of the bill. TDI indicates that it can absorb the costs associated with the bill within its current resources.
The bill would amend the Insurance Code to prohibit certain exclusive contracts or the granting of exclusive privileges between physicians, hospitals, and certain health benefit plans. It also would provide for the establishment of network adequacy standards. The bill would require a health benefit plan to submit information to the Texas Department of Insurance (TDI) about the methods used to compute out-of-network reimbursements. The bill would require TDI to adopt rules regarding the implementation of the bill. TDI indicates that it can absorb the costs associated with the bill within its current resources.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 323 Teacher Retirement System, 327 Employees Retirement System, 454 Department of Insurance, 710 Texas A&M University System Administrative and General Offices, 720 The University of Texas System Administration
323 Teacher Retirement System, 327 Employees Retirement System, 454 Department of Insurance, 710 Texas A&M University System Administrative and General Offices, 720 The University of Texas System Administration
LBB Staff: JOB, KJG, CH
JOB, KJG, CH