Texas 2017 - 85th Regular

Texas House Bill HB3990 Latest Draft

Bill / Comm Sub Version Filed 05/03/2017

                            85R25913 SMT-F
 By: Raymond H.B. No. 3990
 Substitute the following for H.B. No. 3990:
 By:  Phillips C.S.H.B. No. 3990


 A BILL TO BE ENTITLED
 AN ACT
 relating to the use of clinical decision support software and
 laboratory benefits management programs by physicians and health
 care providers in connection with provision of clinical laboratory
 services to certain managed care plan enrollees.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Chapter 1451, Insurance Code, is amended by
 adding Subchapter M to read as follows:
 SUBCHAPTER M. CLINICAL LABORATORIES
 Sec. 1451.601.  DEFINITIONS.  In this subchapter:
 (1)  "Clinical decision support software" means
 computer software that compares patient characteristics to a
 database of clinical knowledge to produce patient-specific
 assessments or recommendations to assist a physician or health care
 provider in making clinical decisions.
 (2)  "Clinical laboratory service" means the
 examination of a sample of fluid or other material taken from a
 human body ordered by a physician or health care provider for use in
 the diagnosis, prevention, or treatment of a disease or the
 identification or assessment of a medical or physical condition.
 (3)  "Enrollee" means an individual enrolled in a
 managed care plan.
 (4)  "Laboratory benefits management program" means a
 managed care plan issuer protocol or program administered by the
 managed care plan issuer or another entity under contract with the
 managed care plan issuer that dictates, directs, or limits decision
 making of a physician or health care provider who is authorized to
 order clinical laboratory services.
 (5)  "Managed care plan" means a health plan provided
 by a health maintenance organization under Chapter 843 or a
 preferred provider or exclusive provider plan provided by an
 insurer under Chapter 1301.
 (6)  "Managed care plan issuer" means a health
 maintenance organization or an insurer that provides a managed care
 plan.
 Sec. 1451.602.  CERTAIN REQUIREMENTS FOR USE OF CLINICAL
 LABORATORIES AND LABORATORY SERVICES PROHIBITED.  (a)  A managed
 care plan issuer may not require the use of clinical decision
 support software or a laboratory benefits management program by an
 enrollee's physician or health care provider before, at the time,
 or after the physician or health care provider orders a clinical
 laboratory service for the enrollee.
 (b)  A managed care plan issuer may not limit, reduce, or
 deny payment of a claim for a clinical laboratory service based on
 whether the ordering physician or health care provider uses or
 fails to use clinical decision support software or a laboratory
 benefits management program.
 (c)  Nothing in this section prohibits a managed care plan
 issuer from requiring a prior authorization for clinical laboratory
 services provided that the managed care plan issuer imposes the
 requirement uniformly to all laboratories providing clinical
 laboratory services in the managed care plan's provider network.
 Sec. 1451.603.  APPLICABILITY OF SUBCHAPTER TO ENTITIES
 CONTRACTING WITH MANAGED CARE PLAN ISSUER.  This subchapter applies
 to a  person to whom a managed care plan issuer contracts to:
 (1)  manage or administer laboratory benefits;
 (2)  process or pay claims;
 (3)  obtain the services of physicians or other
 providers to provide health care services to enrollees; or
 (4)  issue verifications or preauthorizations.
 SECTION 2.  Subchapter M, Chapter 1451, Insurance Code, as
 added by this Act, applies only to a contract between a managed care
 plan and a physician or provider that is entered into or renewed on
 or after the effective date of this Act. A contract entered into or
 renewed before the effective date of this Act is governed by the law
 as it existed immediately before the effective date of this Act, and
 that law is continued in effect for that purpose.
 SECTION 3.  This Act takes effect September 1, 2017.