83R9340 AJA-D
By: Duncan S.B. No. 1366
A BILL TO BE ENTITLED
AN ACT
relating to the use of certain funds of the Texas Health Insurance
Pool.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 1506.260, Insurance Code, is amended to
read as follows:
Sec. 1506.260. USE OF CERTAIN PENALTY PAYMENTS [FUNDING FOR
PREMIUM DISCOUNTS]. (a) The board shall collect penalty payments
and interest paid by health maintenance organizations as provided
by Section 843.342 and insurers as provided by Section 1301.137.
(b) Except as provided by this subsection, the [The] board
may use funds collected under this section only to finance premium
discounts under Section 1506.105(e-1). If those funds are no longer
necessary to finance those premium discounts, the funds shall be
directed, at the board's discretion, to the fund established under
Subchapter F, Chapter 1508, for a purpose provided by that
subchapter or to the corporation established under Chapter 182,
Health and Safety Code, for a purpose provided by that chapter.
(c) The board may require a health maintenance organization
or an insurer to make payments under this section and make reports
concerning those payments in a manner determined by the board.
SECTION 2. This Act takes effect September 1, 2013.