By: Deuell S.B. No. 2423
(In the Senate - Filed March 13, 2009; March 31, 2009, read
first time and referred to Committee on Health and Human Services;
April 24, 2009, reported adversely, with favorable Committee
Substitute by the following vote: Yeas 9, Nays 0; April 24, 2009,
sent to printer.)
COMMITTEE SUBSTITUTE FOR S.B. No. 2423 By: Deuell
A BILL TO BE ENTITLED
AN ACT
relating to transfer or sale of patient information or prescription
drug history by discount health care programs.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subdivisions (3) and (4), Section 76.001, Health
and Safety Code, are amended to read as follows:
(3) "Discount health care program" means a business
arrangement or contract in which an entity, in exchange for fees,
dues, charges, or other consideration, offers its members access to
discounts on health care services provided by health care
providers. The term does not include an insurance policy,
certificate of coverage, or other product regulated by the Texas
Department of Insurance or a self-funded or self-insured employee
benefit plan. For purposes of this subsection, consideration
includes patient information or patient prescription drug history
provided by members, if the entity engages in the transfer or sale
of such patient information, patient prescription drug history, or
drug manufacturer rebates.
(4) "Discount health care program operator" means a
person who, in exchange for fees, dues, charges, or other
consideration, operates a discount health care program and
contracts with providers, provider networks, or other discount
health care program operators to offer access to health care
services at a discount and determines the charge to members. For
purposes of this subsection, consideration includes patient
information or patient prescription drug history provided by
members, if the person engages in the transfer or sale of such
patient information, patient prescription drug history, or drug
manufacturer rebates.
SECTION 2. Section 76.053, Health and Safety Code, is
amended by adding Subsection (a-1) and amending Subsection (b) to
read as follows:
(a-1) If a program operator engages in the transfer or sale
of a member's patient information or patient prescription drug
history, the program operator shall, before enrollment, provide
each prospective member disclosure materials describing the
program operator's practices regarding such transfer or sale.
(b) A marketer shall use disclosure materials that comply
with this section [Subsection (a)].
SECTION 3. This Act takes effect September 1, 2009.
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