1 | 1 | | H.B. No. 806 |
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2 | 2 | | |
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3 | 3 | | |
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4 | 4 | | AN ACT |
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5 | 5 | | relating to health benefit plan coverage for certain prosthetic |
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6 | 6 | | devices, orthotic devices, and related services. |
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7 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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8 | 8 | | SECTION 1. Subtitle E, Title 8, Insurance Code, is amended |
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9 | 9 | | by adding Chapter 1371 to read as follows: |
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10 | 10 | | CHAPTER 1371. COVERAGE FOR CERTAIN PROSTHETIC DEVICES, ORTHOTIC |
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11 | 11 | | DEVICES, AND RELATED SERVICES |
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12 | 12 | | Sec. 1371.001. DEFINITIONS. In this chapter: |
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13 | 13 | | (1) "Enrollee" means an individual entitled to |
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14 | 14 | | coverage under a health benefit plan. |
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15 | 15 | | (2) "Orthotic device" means a custom-fitted or |
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16 | 16 | | custom-fabricated medical device that is applied to a part of the |
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17 | 17 | | human body to correct a deformity, improve function, or relieve |
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18 | 18 | | symptoms of a disease. |
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19 | 19 | | (3) "Prosthetic device" means an artificial device |
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20 | 20 | | designed to replace, wholly or partly, an arm or leg. |
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21 | 21 | | Sec. 1371.002. APPLICABILITY OF CHAPTER. (a) This chapter |
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22 | 22 | | applies only to a health benefit plan, including a small employer |
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23 | 23 | | health benefit plan written under Chapter 1501 or coverage provided |
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24 | 24 | | by a health group cooperative under Subchapter B of that chapter, |
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25 | 25 | | that provides benefits for medical or surgical expenses incurred as |
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26 | 26 | | a result of a health condition, accident, or sickness, including an |
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27 | 27 | | individual, group, blanket, or franchise insurance policy or |
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28 | 28 | | insurance agreement, a group hospital service contract, or an |
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29 | 29 | | individual or group evidence of coverage or similar coverage |
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30 | 30 | | document that is offered by: |
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31 | 31 | | (1) an insurance company; |
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32 | 32 | | (2) a group hospital service corporation operating |
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33 | 33 | | under Chapter 842; |
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34 | 34 | | (3) a fraternal benefit society operating under |
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35 | 35 | | Chapter 885; |
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36 | 36 | | (4) a stipulated premium company operating under |
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37 | 37 | | Chapter 884; |
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38 | 38 | | (5) a reciprocal exchange operating under Chapter 942; |
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39 | 39 | | (6) a Lloyd's plan operating under Chapter 941; |
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40 | 40 | | (7) a health maintenance organization operating under |
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41 | 41 | | Chapter 843; |
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42 | 42 | | (8) a multiple employer welfare arrangement that holds |
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43 | 43 | | a certificate of authority under Chapter 846; or |
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44 | 44 | | (9) an approved nonprofit health corporation that |
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45 | 45 | | holds a certificate of authority under Chapter 844. |
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46 | 46 | | (b) Notwithstanding any provision in Chapter 1551, 1575, |
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47 | 47 | | 1579, or 1601 or any other law, this chapter applies to: |
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48 | 48 | | (1) a basic coverage plan under Chapter 1551; |
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49 | 49 | | (2) a basic plan under Chapter 1575; |
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50 | 50 | | (3) a primary care coverage plan under Chapter 1579; |
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51 | 51 | | and |
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52 | 52 | | (4) basic coverage under Chapter 1601. |
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53 | 53 | | Sec. 1371.003. REQUIRED COVERAGE FOR PROSTHETIC DEVICES, |
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54 | 54 | | ORTHOTIC DEVICES, AND RELATED SERVICES. (a) A health benefit plan |
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55 | 55 | | must provide coverage for prosthetic devices, orthotic devices, and |
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56 | 56 | | professional services related to the fitting and use of those |
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57 | 57 | | devices that equals the coverage provided under federal laws for |
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58 | 58 | | health insurance for the aged and disabled under Sections 1832, |
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59 | 59 | | 1833, and 1834, Social Security Act (42 U.S.C. Sections 1395k, |
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60 | 60 | | 1395l, and 1395m), and 42 C.F.R. Sections 410.100, 414.202, |
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61 | 61 | | 414.210, and 414.228, as applicable. |
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62 | 62 | | (b) Covered benefits under this chapter are limited to the |
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63 | 63 | | most appropriate model of prosthetic device or orthotic device that |
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64 | 64 | | adequately meets the medical needs of the enrollee as determined by |
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65 | 65 | | the enrollee's treating physician or podiatrist and prosthetist or |
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66 | 66 | | orthotist, as applicable. |
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67 | 67 | | (c) Subject to applicable copayments and deductibles, the |
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68 | 68 | | repair and replacement of a prosthetic device or orthotic device is |
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69 | 69 | | a covered benefit under this chapter unless the repair or |
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70 | 70 | | replacement is necessitated by misuse or loss by the enrollee. |
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71 | 71 | | (d) Coverage required under this section: |
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72 | 72 | | (1) must be provided in a manner determined to be |
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73 | 73 | | appropriate in consultation with the treating physician or |
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74 | 74 | | podiatrist and prosthetist or orthotist, as applicable, and the |
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75 | 75 | | enrollee; |
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76 | 76 | | (2) may be subject to annual deductibles, copayments, |
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77 | 77 | | and coinsurance that are consistent with annual deductibles, |
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78 | 78 | | copayments, and coinsurance required for other coverage under the |
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79 | 79 | | health benefit plan; and |
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80 | 80 | | (3) may not be subject to annual dollar limits. |
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81 | 81 | | (e) Covered benefits under this chapter may be provided by a |
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82 | 82 | | pharmacy that has employees who are qualified under the Medicare |
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83 | 83 | | system and applicable Medicaid regulations to service and bill for |
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84 | 84 | | orthotic services. This chapter does not preclude a pharmacy from |
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85 | 85 | | being reimbursed by a health benefit plan for the provision of |
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86 | 86 | | orthotic services. |
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87 | 87 | | Sec. 1371.004. PREAUTHORIZATION. A health benefit plan may |
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88 | 88 | | require prior authorization for a prosthetic device or an orthotic |
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89 | 89 | | device in the same manner that the health benefit plan requires |
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90 | 90 | | prior authorization for any other covered benefit. |
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91 | 91 | | Sec. 1371.005. MANAGED CARE PLAN. A health benefit plan |
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92 | 92 | | provider may require that, if coverage is provided through a |
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93 | 93 | | managed care plan, the benefits mandated under this chapter are |
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94 | 94 | | covered benefits only if the prosthetic devices or orthotic devices |
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95 | 95 | | are provided by a vendor or a provider, and related services are |
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96 | 96 | | rendered by a provider, that contracts with or is designated by the |
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97 | 97 | | health benefit plan provider. If the health benefit plan provider |
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98 | 98 | | provides in-network and out-of-network services, the coverage for |
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99 | 99 | | prosthetic devices or orthotic devices provided through |
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100 | 100 | | out-of-network services must be comparable to that provided through |
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101 | 101 | | in-network services. |
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102 | 102 | | SECTION 2. Chapter 1371, Insurance Code, as added by this |
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103 | 103 | | Act, applies only to a health benefit plan that is delivered, |
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104 | 104 | | issued for delivery, or renewed on or after January 1, 2010. A |
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105 | 105 | | health benefit plan that is delivered, issued for delivery, or |
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106 | 106 | | renewed before January 1, 2010, is covered by the law in effect at |
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107 | 107 | | the time the plan was delivered, issued for delivery, or renewed, |
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108 | 108 | | and that law is continued in effect for that purpose. |
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109 | 109 | | SECTION 3. This Act takes effect September 1, 2009. |
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110 | 110 | | ______________________________ ______________________________ |
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111 | 111 | | President of the Senate Speaker of the House |
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112 | 112 | | I certify that H.B. No. 806 was passed by the House on April |
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113 | 113 | | 2, 2009, by the following vote: Yeas 105, Nays 35, 1 present, not |
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114 | 114 | | voting; and that the House concurred in Senate amendments to H.B. |
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115 | 115 | | No. 806 on May 4, 2009, by the following vote: Yeas 140, Nays 0, 1 |
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116 | 116 | | present, not voting. |
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117 | 117 | | ______________________________ |
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118 | 118 | | Chief Clerk of the House |
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119 | 119 | | I certify that H.B. No. 806 was passed by the Senate, with |
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120 | 120 | | amendments, on April 30, 2009, by the following vote: Yeas 31, |
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121 | 121 | | Nays 0. |
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122 | 122 | | ______________________________ |
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123 | 123 | | Secretary of the Senate |
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124 | 124 | | APPROVED: __________________ |
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125 | 125 | | Date |
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126 | 126 | | __________________ |
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127 | 127 | | Governor |
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