Texas House Bill HB3343

Texas 2017 - 85th Regular

Caption

Relating to the suspension and reactivation of the operation of the Texas Health Reinsurance System.

Impact

The potential impact of HB3343 includes regulating the operations of the Texas Health Reinsurance System more tightly. If the commissioner decides that small employer health benefit plan issuers are not threatened in securing reinsurance coverage, the commissioner can initiate the system's suspension. This could significantly affect access to reinsurance for small employers, creating a more volatile insurance market in Texas that may impact their ability to provide health benefits to employees.

Summary

House Bill 3343 focuses on the Texas Health Reinsurance System, specifically relating to its suspension and reactivation. The bill specifies the conditions under which the system may operate and outlines the necessary process for suspending its operations. It empowers the state's insurance commissioner to hold hearings to determine whether the operation of the system is warranted based on the reinsurance coverage availability for small employer health benefit plan issuers. If deemed necessary for public interest, the bill permits the commissioner to authorize the operation of the system through an official order.

Contention

One notable point of contention that could arise from HB3343 involves its implications for small employers who rely on the system for their health insurance needs. Advocates of the bill argue that it ensures efficiency and adaptability regarding the operation of the Texas Health Reinsurance System. However, opponents may express concerns that frequent suspensions could limit access to necessary reinsurance for small employers and jeopardize the stability of health benefits for their employees. This could lead to pressing debates on the balance between regulatory authority and the needs of small businesses in Texas.