86R26825 PMO-F
By: Blanco, Oliverson, Sheffield H.B. No. 698
Substitute the following for H.B. No. 698:
By: Lucio III C.S.H.B. No. 698
A BILL TO BE ENTITLED
AN ACT
relating to certain protected practices of pharmacists and
pharmacies regarding amounts charged for prescription drugs.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 1369, Insurance Code, is amended by
adding Subchapter K to read as follows:
SUBCHAPTER K. PROTECTED PRACTICES REGARDING PRESCRIPTION DRUG
CHARGES
Sec. 1369.501. DEFINITIONS. In this subchapter:
(1) "Enrollee" means an individual who is covered
under a health benefit plan, including a covered dependent.
(2) "Prescription drug" has the meaning assigned by
Section 551.003, Occupations Code.
Sec. 1369.502. APPLICABILITY OF SUBCHAPTER. (a) This
subchapter applies only to a health benefit plan that provides
benefits for medical or surgical expenses incurred as a result of a
health condition, accident, or sickness, including an individual,
group, blanket, or franchise insurance policy or insurance
agreement, a group hospital service contract, or an individual or
group evidence of coverage or similar coverage document that is
issued by:
(1) an insurance company;
(2) a group hospital service corporation operating
under Chapter 842;
(3) a health maintenance organization operating under
Chapter 843;
(4) an approved nonprofit health corporation that
holds a certificate of authority under Chapter 844;
(5) a multiple employer welfare arrangement that holds
a certificate of authority under Chapter 846;
(6) a stipulated premium company operating under
Chapter 884;
(7) a fraternal benefit society operating under
Chapter 885;
(8) a Lloyd's plan operating under Chapter 941; or
(9) an exchange operating under Chapter 942.
(b) Notwithstanding any other law, this subchapter applies
to:
(1) a small employer health benefit plan subject to
Chapter 1501, including coverage provided through a health group
cooperative under Subchapter B of that chapter;
(2) a standard health benefit plan issued under
Chapter 1507;
(3) a basic coverage plan under Chapter 1551;
(4) a basic plan under Chapter 1575;
(5) a primary care coverage plan under Chapter 1579;
(6) a plan providing basic coverage under Chapter
1601;
(7) health benefits provided by or through a church
benefits board under Subchapter I, Chapter 22, Business
Organizations Code;
(8) group health coverage made available by a school
district in accordance with Section 22.004, Education Code;
(9) the state Medicaid program, including the Medicaid
managed care program operated under Chapter 533, Government Code;
(10) the child health plan program under Chapter 62,
Health and Safety Code;
(11) a regional or local health care program operated
under Section 75.104, Health and Safety Code; and
(12) a self-funded health benefit plan sponsored by a
professional employer organization under Chapter 91, Labor Code.
(c) This subchapter applies to coverage under a group health
benefit plan provided to a resident of this state regardless of
whether the group policy, agreement, or contract is delivered,
issued for delivery, or renewed in this state.
Sec. 1369.503. PROTECTED PRACTICES BY PHARMACISTS AND
PHARMACIES. An issuer of a health benefit plan that covers
prescription drugs or a pharmacy benefit manager as defined by
Section 4151.151 may not, as a condition of a contract with a
pharmacist or pharmacy providing a prescription drug or in any
other manner, prohibit or otherwise restrict a pharmacist or
pharmacy from or penalize a pharmacist or pharmacy for:
(1) informing an enrollee that the amount the
pharmacist or pharmacy charges for a prescription drug is less than
the enrollee's copayment, deductible, or coinsurance for the drug
under the plan or otherwise providing information to the enrollee
regarding the cost of the drug; or
(2) selling a prescription drug covered by the plan
for an amount that is less than the enrollee's copayment,
deductible, or coinsurance for the drug under the plan.
SECTION 2. Subchapter K, Chapter 1369, Insurance Code, as
added by this Act, applies only to a health benefit plan that is
delivered, issued for delivery, or renewed on or after January 1,
2020. A plan delivered, issued for delivery, or renewed before
January 1, 2020, 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. If before implementing any provision of this Act
a state agency determines that a waiver or authorization from a
federal agency is necessary for implementation of that provision,
the agency affected by the provision shall request the waiver or
authorization and may delay implementing that provision until the
waiver or authorization is granted.
SECTION 4. This Act takes effect September 1, 2019.