LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION April 24, 2013 TO: Honorable Robert Duncan, Chair, Senate Committee on State Affairs FROM: Ursula Parks, Director, Legislative Budget Board IN RE:SB1484 by Watson (Relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder.), Committee Report 1st House, Substituted No significant fiscal implication to the State is anticipated. The bill would amend the Insurance Code relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder. The bill would require a health benefit plan to provide coverage to an enrollee who is diagnosed with autism spectrum disorder from the date of diagnosis, and would remove the 10 year age limit for coverage that exists under current law. Based on information provided by the Texas Department of Insurance (TDI), it is assumed that any costs associated with the implementation of this bill would be absorbed within existing staff and resources. Also, based on information provided by TDI, this analysis assumes that implementation of the bill would result in an increase in Health Maintenance Organizations and health insurers filing riders or amendments to policies, certificates, and evidences of coverage and a one-time revenue gain ($34,750 in fiscal year 2014) in General Revenue-Dedicated Texas Department of Insurance Fund 36 from filing fees. Since General Revenue-Dedicated Texas Department of Insurance Fund 36 is a self-leveling account, this analysis also assumes that any additional revenue resulting from the implementation of the bill would accumulate in account fund balances and that the department would adjust the assessment of the maintenance tax or other fees accordingly in the following year. Local Government Impact According to the Teacher Retirement System, the provisions of the bill could result in a cost of $21.3 million in fiscal year 2014 and $23.0 million in fiscal year 2015 for the TRS-ActiveCare program, a health insurance plan available to school districts and charter schools which is managed by TRS and funded through premiums paid locally. Increased plan costs would be passed along through increased premiums to be borne by school districts or beneficiaries. The level of increase would vary by plan choice within TRS Active Care. Source Agencies:323 Teacher Retirement System, 454 Department of Insurance LBB Staff: UP, AG, ER, JW, SD, LXH, JSc
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION
April 24, 2013
TO: Honorable Robert Duncan, Chair, Senate Committee on State Affairs FROM: Ursula Parks, Director, Legislative Budget Board IN RE:SB1484 by Watson (Relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder.), Committee Report 1st House, Substituted
TO: Honorable Robert Duncan, Chair, Senate Committee on State Affairs
FROM: Ursula Parks, Director, Legislative Budget Board
IN RE: SB1484 by Watson (Relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder.), Committee Report 1st House, Substituted
Honorable Robert Duncan, Chair, Senate Committee on State Affairs
Honorable Robert Duncan, Chair, Senate Committee on State Affairs
Ursula Parks, Director, Legislative Budget Board
Ursula Parks, Director, Legislative Budget Board
SB1484 by Watson (Relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder.), Committee Report 1st House, Substituted
SB1484 by Watson (Relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder.), Committee Report 1st House, Substituted
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 relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder. The bill would require a health benefit plan to provide coverage to an enrollee who is diagnosed with autism spectrum disorder from the date of diagnosis, and would remove the 10 year age limit for coverage that exists under current law. Based on information provided by the Texas Department of Insurance (TDI), it is assumed that any costs associated with the implementation of this bill would be absorbed within existing staff and resources. Also, based on information provided by TDI, this analysis assumes that implementation of the bill would result in an increase in Health Maintenance Organizations and health insurers filing riders or amendments to policies, certificates, and evidences of coverage and a one-time revenue gain ($34,750 in fiscal year 2014) in General Revenue-Dedicated Texas Department of Insurance Fund 36 from filing fees. Since General Revenue-Dedicated Texas Department of Insurance Fund 36 is a self-leveling account, this analysis also assumes that any additional revenue resulting from the implementation of the bill would accumulate in account fund balances and that the department would adjust the assessment of the maintenance tax or other fees accordingly in the following year.
The bill would amend the Insurance Code relating to health benefit plan coverage for enrollees diagnosed with autism spectrum disorder. The bill would require a health benefit plan to provide coverage to an enrollee who is diagnosed with autism spectrum disorder from the date of diagnosis, and would remove the 10 year age limit for coverage that exists under current law.
Based on information provided by the Texas Department of Insurance (TDI), it is assumed that any costs associated with the implementation of this bill would be absorbed within existing staff and resources. Also, based on information provided by TDI, this analysis assumes that implementation of the bill would result in an increase in Health Maintenance Organizations and health insurers filing riders or amendments to policies, certificates, and evidences of coverage and a one-time revenue gain ($34,750 in fiscal year 2014) in General Revenue-Dedicated Texas Department of Insurance Fund 36 from filing fees. Since General Revenue-Dedicated Texas Department of Insurance Fund 36 is a self-leveling account, this analysis also assumes that any additional revenue resulting from the implementation of the bill would accumulate in account fund balances and that the department would adjust the assessment of the maintenance tax or other fees accordingly in the following year.
Local Government Impact
According to the Teacher Retirement System, the provisions of the bill could result in a cost of $21.3 million in fiscal year 2014 and $23.0 million in fiscal year 2015 for the TRS-ActiveCare program, a health insurance plan available to school districts and charter schools which is managed by TRS and funded through premiums paid locally. Increased plan costs would be passed along through increased premiums to be borne by school districts or beneficiaries. The level of increase would vary by plan choice within TRS Active Care.
Source Agencies: 323 Teacher Retirement System, 454 Department of Insurance
323 Teacher Retirement System, 454 Department of Insurance
LBB Staff: UP, AG, ER, JW, SD, LXH, JSc
UP, AG, ER, JW, SD, LXH, JSc