Texas 2019 - 86th Regular

Texas Senate Bill SB1740 Compare Versions

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11 86R12010 JES-F
22 By: Menéndez S.B. No. 1740
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55 A BILL TO BE ENTITLED
66 AN ACT
77 relating to disclosures by certain health benefit plans to
88 enrollees regarding certain preauthorized medical care and health
99 care services.
1010 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1111 SECTION 1. Subchapter F, Chapter 843, Insurance Code, is
1212 amended by adding Section 843.2025 to read as follows:
1313 Sec. 843.2025. DISCLOSURES CONCERNING CERTAIN
1414 PREAUTHORIZED SERVICES. (a) In this section:
1515 (1) "Elective health care service" means a covered
1616 health care service that is scheduled in advance.
1717 (2) "Licensed medical facility" means:
1818 (A) a hospital licensed under Chapter 241, Health
1919 and Safety Code;
2020 (B) an ambulatory surgical center licensed under
2121 Chapter 243, Health and Safety Code; or
2222 (C) a birthing center licensed under Chapter 244,
2323 Health and Safety Code.
2424 (3) "Preauthorization" has the meaning assigned by
2525 Section 843.348.
2626 (b) If a health maintenance organization preauthorizes an
2727 elective health care service to be provided at a licensed medical
2828 facility, the health maintenance organization shall, within a
2929 reasonable period before the date the health care service is
3030 scheduled to be performed, provide to the enrollee:
3131 (1) a statement of the name and network status of any
3232 facility-based physician or provider that the health maintenance
3333 organization reasonably expects will provide and charge for the
3434 preauthorized service;
3535 (2) an estimate of:
3636 (A) the payment that will be made for the
3737 preauthorized service; and
3838 (B) the enrollee's financial responsibility for
3939 the preauthorized service, including any copayment or other
4040 out-of-pocket amount for which the enrollee is responsible;
4141 (3) a statement that the actual charges and payment
4242 for the health care service and the enrollee's financial
4343 responsibility for the health care service may vary from the
4444 estimate provided by the health maintenance organization based on
4545 the enrollee's medical condition and other factors associated with
4646 the performance of the health care service; and
4747 (4) a statement that the enrollee may be personally
4848 liable for the amount charged for health care services provided to
4949 the enrollee depending on the enrollee's health benefit plan
5050 coverage.
5151 (c) A general statement that some facility-based physicians
5252 or providers may be out-of-network does not satisfy the notice
5353 requirement of Subsection (b).
5454 SECTION 2. Subchapter C-1, Chapter 1301, Insurance Code, is
5555 amended by adding Section 1301.1355 to read as follows:
5656 Sec. 1301.1355. DISCLOSURES CONCERNING CERTAIN
5757 PREAUTHORIZED SERVICES. (a) In this section:
5858 (1) "Elective medical care or health care service"
5959 means a covered medical care or health care service that is
6060 scheduled in advance.
6161 (2) "Licensed medical facility" means:
6262 (A) a hospital licensed under Chapter 241, Health
6363 and Safety Code;
6464 (B) an ambulatory surgical center licensed under
6565 Chapter 243, Health and Safety Code; or
6666 (C) a birthing center licensed under Chapter 244,
6767 Health and Safety Code.
6868 (b) If an insurer preauthorizes an elective medical care or
6969 health care service to be provided at a licensed medical facility,
7070 the insurer shall, within a reasonable period before the date the
7171 medical care or health care service is scheduled to be performed,
7272 provide to the insured:
7373 (1) a statement of the name and network status of any
7474 facility-based physician or health care provider that the insurer
7575 reasonably expects will provide and charge for the preauthorized
7676 service;
7777 (2) an estimate of:
7878 (A) the payment that will be made for the
7979 preauthorized service; and
8080 (B) the insured's financial responsibility for
8181 the preauthorized service, including any copayment, coinsurance,
8282 deductible, or other out-of-pocket amount for which the insured is
8383 responsible;
8484 (3) a statement that the actual charges and payment
8585 for the medical care or health care service and the insured's
8686 financial responsibility for the medical care or health care
8787 service may vary from the estimate provided by the insurer based on
8888 the insured's medical condition and other factors associated with
8989 the performance of the medical care or health care service; and
9090 (4) a statement that the insured may be personally
9191 liable for the amount charged for medical care or health care
9292 services provided to the insured depending on the insured's health
9393 benefit plan coverage.
9494 (c) A general statement that some facility-based physicians
9595 or health care providers may be out-of-network does not satisfy the
9696 notice requirement of Subsection (b).
9797 SECTION 3. The changes in law made by this Act apply only to
9898 a health benefit plan that is delivered, issued for delivery, or
9999 renewed on or after January 1, 2020.
100100 SECTION 4. This Act takes effect January 1, 2020.