1 | 1 | | 83R20802 BEF-D |
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2 | 2 | | By: Bonnen of Galveston, et al. H.B. No. 2700 |
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3 | 3 | | Substitute the following for H.B. No. 2700: |
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4 | 4 | | By: Bonnen of Galveston C.S.H.B. No. 2700 |
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5 | 5 | | |
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6 | 6 | | |
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7 | 7 | | A BILL TO BE ENTITLED |
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8 | 8 | | AN ACT |
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9 | 9 | | relating to the requirement that certain medical facilities and |
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10 | 10 | | physicians give patients a good faith estimate of the expected |
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11 | 11 | | payment for facility-based health care services before the services |
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12 | 12 | | are provided; providing an administrative penalty. |
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13 | 13 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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14 | 14 | | SECTION 1. Subtitle G, Title 4, Health and Safety Code, is |
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15 | 15 | | amended by adding Chapter 326 to read as follows: |
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16 | 16 | | CHAPTER 326. GOOD FAITH ESTIMATE OF ACTUAL CHARGES FOR |
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17 | 17 | | FACILITY-BASED SERVICES |
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18 | 18 | | SUBCHAPTER A. GENERAL PROVISIONS |
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19 | 19 | | Sec. 326.001. DEFINITIONS. In this chapter: |
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20 | 20 | | (1) "Facility" means: |
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21 | 21 | | (A) an ambulatory surgical center licensed under |
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22 | 22 | | Chapter 243; |
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23 | 23 | | (B) a birthing center licensed under Chapter 244; |
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24 | 24 | | (C) a hospital licensed under Chapter 241; or |
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25 | 25 | | (D) an imaging center that is not part of another |
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26 | 26 | | facility. |
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27 | 27 | | (2) "Facility-based physician" means a radiologist, |
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28 | 28 | | an anesthesiologist, a pathologist, or a neonatologist. |
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29 | 29 | | (3) "Health care provider" means a facility, a |
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30 | 30 | | facility-based physician, or another physician required to provide |
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31 | 31 | | a good faith estimate under this chapter. |
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32 | 32 | | (4) "Medical implant" means an item, other than a |
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33 | 33 | | suture, implanted in a patient's body. |
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34 | 34 | | SUBCHAPTER B. GOOD FAITH ESTIMATE BY FACILITY AND FACILITY-BASED |
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35 | 35 | | PHYSICIAN |
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36 | 36 | | Sec. 326.051. ESTIMATE BY FACILITY. (a) A facility shall |
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37 | 37 | | provide to a person a good faith estimate as provided by this |
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38 | 38 | | chapter if the person: |
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39 | 39 | | (1) is expected to be admitted to the facility on a |
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40 | 40 | | nonemergency basis or receive a nonemergency procedure or service |
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41 | 41 | | at the facility; or |
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42 | 42 | | (2) may be admitted to the facility on a nonemergency |
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43 | 43 | | basis or receive a nonemergency procedure or service at the |
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44 | 44 | | facility and the person requests a good faith estimate from the |
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45 | 45 | | facility. |
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46 | 46 | | (b) A facility must provide a good faith estimate before |
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47 | 47 | | scheduling an admission, procedure, or service described by |
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48 | 48 | | Subsection (a). |
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49 | 49 | | (c) A facility shall provide to a person described by |
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50 | 50 | | Subsection (a) a good faith estimate of the actual charges, as |
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51 | 51 | | provided by Subchapter D, for facility fees and all procedures and |
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52 | 52 | | services, including diagnostic imaging, expected to be performed by |
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53 | 53 | | the facility and by facility-based physicians with whom the |
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54 | 54 | | facility has an agreement under Section 326.052(b) based on the |
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55 | 55 | | person's medical orders. The estimate must be based on |
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56 | 56 | | Diagnosis-Related Groups codes. The facility shall include with the |
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57 | 57 | | estimate a statement that the actual services performed at the |
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58 | 58 | | facility may differ from those provided in the estimate based on the |
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59 | 59 | | person's medical needs. |
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60 | 60 | | (d) A facility is not required to include in a good faith |
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61 | 61 | | estimate provided by the facility procedures or services performed |
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62 | 62 | | by a physician who is not a facility-based physician. |
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63 | 63 | | Sec. 326.052. ESTIMATE BY FACILITY-BASED PHYSICIAN. (a) A |
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64 | 64 | | facility-based physician shall provide a good faith estimate to a |
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65 | 65 | | person described by Section 326.051(a). |
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66 | 66 | | (b) A facility-based physician by contract may agree to |
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67 | 67 | | allow a facility to provide a good faith estimate of procedures and |
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68 | 68 | | services performed by the physician at the facility. The |
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69 | 69 | | facility-based physician is responsible for the estimate provided |
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70 | 70 | | by the facility according to the terms of the contract. |
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71 | 71 | | (c) A facility-based physician who does not enter into a |
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72 | 72 | | contract as provided by Subsection (b) must provide a good faith |
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73 | 73 | | estimate to a person before performing a procedure or service at a |
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74 | 74 | | facility in the same manner as a facility under Section 326.051. |
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75 | 75 | | Sec. 326.053. ESTIMATE OF ANESTHESIOLOGY SERVICES. (a) A |
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76 | 76 | | good faith estimate for anesthesiology services must be in the form |
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77 | 77 | | of a charge per unit of time and the expected number of units of time |
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78 | 78 | | required to complete the procedure or service originally ordered. |
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79 | 79 | | (b) A facility or anesthesiologist that provides a good |
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80 | 80 | | faith estimate of anesthesiology charges shall include with the |
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81 | 81 | | estimate a statement that the actual number of units of time |
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82 | 82 | | required to complete the procedure or service may differ from the |
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83 | 83 | | number provided in the estimate based on the person's medical |
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84 | 84 | | needs. |
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85 | 85 | | Sec. 326.054. ESTIMATE OF PATHOLOGY SERVICES. (a) A good |
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86 | 86 | | faith estimate for pathology services must be in the form of a |
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87 | 87 | | charge per specimen and the expected number of specimens required |
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88 | 88 | | for the procedure or service originally ordered. |
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89 | 89 | | (b) A facility or pathologist that provides a good faith |
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90 | 90 | | estimate of pathology charges shall include with the estimate a |
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91 | 91 | | statement that the actual number of specimens required may differ |
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92 | 92 | | from the number provided in the estimate based on the person's |
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93 | 93 | | medical needs. |
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94 | 94 | | Sec. 326.055. ESTIMATE FOR MEDICAL IMPLANTS. A |
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95 | 95 | | facility-based physician who provides to a person a good faith |
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96 | 96 | | estimate for a medical implant or a facility that provides to a |
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97 | 97 | | person a good faith estimate that includes a medical implant to be |
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98 | 98 | | implanted by a facility-based physician shall provide to the person |
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99 | 99 | | a list of all available medical implants that meet the person's |
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100 | 100 | | medical needs, including a good faith estimate of the actual |
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101 | 101 | | charges for each medical implant as provided by Subchapter D. |
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102 | 102 | | SUBCHAPTER C. GOOD FAITH ESTIMATE BY PHYSICIAN WHO WILL PERFORM |
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103 | 103 | | PROCEDURE OR SERVICE AT FACILITY |
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104 | 104 | | Sec. 326.101. ESTIMATE BY PHYSICIAN. (a) A physician who is |
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105 | 105 | | not a facility-based physician and who will perform for a person a |
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106 | 106 | | nonemergency procedure or service at a facility shall provide to |
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107 | 107 | | the person a good faith estimate for the procedure or service as |
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108 | 108 | | provided by this chapter. |
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109 | 109 | | (b) A physician must provide a good faith estimate before |
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110 | 110 | | scheduling a procedure or service described by Subsection (a). |
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111 | 111 | | (c) A physician shall provide to a person described by |
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112 | 112 | | Subsection (a) a good faith estimate of the physician's actual |
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113 | 113 | | charges, as provided by Subchapter D, for the procedure or service. |
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114 | 114 | | The estimate must be based on Diagnosis-Related Groups codes, |
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115 | 115 | | Current Procedural Terminology codes, or other applicable medical |
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116 | 116 | | billing codes. The physician shall include with the estimate a |
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117 | 117 | | statement that the actual services performed by the physician may |
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118 | 118 | | differ from those provided in the estimate based on the person's |
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119 | 119 | | medical needs. |
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120 | 120 | | (d) A physician is not required to include in a good faith |
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121 | 121 | | estimate provided by the physician facility fees, procedures, or |
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122 | 122 | | services performed by a facility or by facility-based physicians. |
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123 | 123 | | Sec. 326.102. GOOD FAITH ESTIMATE FOR MEDICAL IMPLANTS. A |
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124 | 124 | | physician who is not a facility-based physician and who provides to |
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125 | 125 | | a person a good faith estimate for a medical implant shall provide |
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126 | 126 | | to the person a list of all available medical implants that meet the |
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127 | 127 | | person's medical needs, including a good faith estimate of the |
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128 | 128 | | actual charges for each medical implant as provided by Subchapter |
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129 | 129 | | D. |
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130 | 130 | | SUBCHAPTER D. GOOD FAITH ESTIMATE OF ACTUAL CHARGES |
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131 | 131 | | Sec. 326.151. DISCLOSURE OF EXPECTED PAYMENT METHOD. A |
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132 | 132 | | health care provider shall ask a person to disclose the person's |
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133 | 133 | | anticipated method of payment for purposes of complying with this |
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134 | 134 | | subchapter. |
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135 | 135 | | Sec. 326.152. GOOD FAITH ESTIMATE FOR INSURED PERSONS. If a |
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136 | 136 | | person has an individual, group, or other private or commercial |
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137 | 137 | | health insurance plan or policy, including coverage through a |
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138 | 138 | | preferred provider organization or health maintenance |
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139 | 139 | | organization, a health care provider shall provide the person a |
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140 | 140 | | good faith estimate of: |
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141 | 141 | | (1) the amount the insurance plan or policy will |
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142 | 142 | | actually pay the health care provider for the fees, procedures, and |
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143 | 143 | | services described by Subchapter B or C based on the relevant |
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144 | 144 | | billing codes, the terms of the person's insurance plan or policy, |
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145 | 145 | | and the negotiated rate between the health care provider and the |
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146 | 146 | | insurance plan or policy, if applicable; and |
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147 | 147 | | (2) the amount of any copayment, coinsurance, or other |
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148 | 148 | | amount the person is expected to pay the health care provider for |
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149 | 149 | | the fees, procedures, and services described by Subchapter B or C |
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150 | 150 | | based on the relevant billing codes, the terms of the person's |
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151 | 151 | | insurance plan or policy, and the negotiated rate between the |
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152 | 152 | | health care provider and the person's insurance plan or policy, if |
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153 | 153 | | applicable. |
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154 | 154 | | Sec. 326.153. GOOD FAITH ESTIMATE FOR RECIPIENTS OF |
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155 | 155 | | GOVERNMENT-SPONSORED PROGRAM. If a person receives benefits under |
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156 | 156 | | a government-sponsored health benefits program, including the |
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157 | 157 | | Medicaid program, the Medicare program, the Children's Health |
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158 | 158 | | Insurance Program (CHIP), and the TRICARE military health system, a |
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159 | 159 | | health care provider shall provide the person a good faith estimate |
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160 | 160 | | of: |
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161 | 161 | | (1) the amount the government-sponsored health |
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162 | 162 | | benefits program will actually pay the health care provider for the |
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163 | 163 | | fees, procedures, and services described by Subchapter B or C based |
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164 | 164 | | on the relevant billing codes; and |
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165 | 165 | | (2) any amount the person is expected to pay the health |
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166 | 166 | | care provider for fees, procedures, and services described by |
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167 | 167 | | Subchapter B or C based on the relevant billing codes under the |
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168 | 168 | | terms of the government-sponsored health benefits program. |
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169 | 169 | | Sec. 326.154. GOOD FAITH ESTIMATE FOR RECIPIENTS OF |
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170 | 170 | | WORKERS' COMPENSATION BENEFITS. If a person receives benefits under |
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171 | 171 | | a workers' compensation claim, a health care provider shall provide |
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172 | 172 | | the person a good faith estimate of: |
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173 | 173 | | (1) the amount the workers' compensation insurance |
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174 | 174 | | carrier, workers' compensation claims processor, employer, or |
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175 | 175 | | other payor will actually pay the health care provider for the fees, |
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176 | 176 | | procedures, and services described by Subchapter B or C based on the |
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177 | 177 | | relevant billing codes; and |
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178 | 178 | | (2) the amount the person is expected to pay the health |
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179 | 179 | | care provider for the fees, procedures, and services described by |
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180 | 180 | | Subchapter B or C based on the relevant billing codes, if any. |
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181 | 181 | | Sec. 326.155. STATEMENT FOR PERSONS PAYING CASH, PERSONS |
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182 | 182 | | RECEIVING CHARITY CARE, AND INDIGENT PERSONS. If a person will pay |
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183 | 183 | | cash or will receive charity care for an admission, procedure, or |
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184 | 184 | | service or if a person is indigent, a health care provider shall |
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185 | 185 | | provide the person with a statement of: |
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186 | 186 | | (1) the average amount the health care provider was |
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187 | 187 | | actually paid for the fees, procedures, and services described by |
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188 | 188 | | Subchapter B or C based on the relevant billing codes by the five |
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189 | 189 | | insurance carriers or government-sponsored programs described by |
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190 | 190 | | Sections 326.152, 326.153, and 326.154 that paid the health care |
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191 | 191 | | provider for the greatest number of the applicable fees, |
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192 | 192 | | procedures, and services in the preceding calendar year, or in the |
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193 | 193 | | current calendar year if the health care provider did not practice |
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194 | 194 | | in the preceding calendar year; and |
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195 | 195 | | (2) the average amount the health care provider was |
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196 | 196 | | actually paid by patients described by this section for the |
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197 | 197 | | applicable fees, procedures, and services in that year. |
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198 | 198 | | SUBCHAPTER E. ADMINISTRATIVE PENALTY |
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199 | 199 | | Sec. 326.201. ADMINISTRATIVE PENALTY AUTHORIZED. (a) The |
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200 | 200 | | commissioner of insurance may impose an administrative penalty on a |
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201 | 201 | | facility or physician that violates this chapter. |
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202 | 202 | | (b) The amount of the penalty may not exceed $1,000 for each |
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203 | 203 | | violation. |
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204 | 204 | | (c) Chapter 84, Insurance Code, governs the imposition, |
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205 | 205 | | enforcement, and collection of the administrative penalty. |
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206 | 206 | | SECTION 2. The changes in law made by this Act apply only to |
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207 | 207 | | an admission, procedure, or service ordered or provided on or after |
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208 | 208 | | the effective date of this Act. An admission, procedure, or service |
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209 | 209 | | ordered or provided before the effective date of this Act is |
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210 | 210 | | governed by the law in effect on the date the admission, procedure, |
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211 | 211 | | or service was ordered or provided, and the former law is continued |
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212 | 212 | | in effect for that purpose. |
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213 | 213 | | SECTION 3. This Act takes effect January 1, 2014. |
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