1 | 1 | | 87R1900 SMT-F |
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2 | 2 | | By: Blanco S.B. No. 166 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | A BILL TO BE ENTITLED |
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6 | 6 | | AN ACT |
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7 | 7 | | relating to a limit on cost-sharing requirements imposed by a |
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8 | 8 | | health benefit plan for certain prescription insulin. |
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9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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10 | 10 | | SECTION 1. Chapter 1358, Insurance Code, is amended by |
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11 | 11 | | adding Subchapter C to read as follows: |
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12 | 12 | | SUBCHAPTER C. COST-SHARING LIMIT |
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13 | 13 | | Sec. 1358.101. DEFINITIONS. In this subchapter: |
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14 | 14 | | (1) "Insulin" means a prescription drug that contains |
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15 | 15 | | insulin and is used to treat diabetes. |
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16 | 16 | | (2) "Pharmacy benefit manager" means a person, other |
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17 | 17 | | than a pharmacy or pharmacist, who acts as an administrator in |
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18 | 18 | | connection with pharmacy benefits. |
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19 | 19 | | Sec. 1358.102. APPLICABILITY OF SUBCHAPTER. (a) This |
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20 | 20 | | subchapter applies only to a health benefit plan that provides |
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21 | 21 | | benefits for medical or surgical expenses incurred as a result of a |
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22 | 22 | | health condition, accident, or sickness, including an individual, |
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23 | 23 | | group, blanket, or franchise insurance policy or insurance |
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24 | 24 | | agreement, a group hospital service contract, or an individual or |
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25 | 25 | | group evidence of coverage or similar coverage document that is |
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26 | 26 | | issued by: |
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27 | 27 | | (1) an insurance company; |
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28 | 28 | | (2) a group hospital service corporation operating |
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29 | 29 | | under Chapter 842; |
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30 | 30 | | (3) a health maintenance organization operating under |
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31 | 31 | | Chapter 843; |
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32 | 32 | | (4) an approved nonprofit health corporation that |
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33 | 33 | | holds a certificate of authority under Chapter 844; |
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34 | 34 | | (5) a multiple employer welfare arrangement that holds |
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35 | 35 | | a certificate of authority under Chapter 846; |
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36 | 36 | | (6) a stipulated premium company operating under |
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37 | 37 | | Chapter 884; |
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38 | 38 | | (7) a fraternal benefit society operating under |
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39 | 39 | | Chapter 885; |
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40 | 40 | | (8) a Lloyd's plan operating under Chapter 941; or |
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41 | 41 | | (9) an exchange operating under Chapter 942. |
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42 | 42 | | (b) Notwithstanding any other law, this subchapter applies |
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43 | 43 | | to: |
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44 | 44 | | (1) a small employer health benefit plan subject to |
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45 | 45 | | Chapter 1501, including coverage provided through a health group |
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46 | 46 | | cooperative under Subchapter B of that chapter; |
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47 | 47 | | (2) a standard health benefit plan issued under |
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48 | 48 | | Chapter 1507; |
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49 | 49 | | (3) a basic coverage plan under Chapter 1551; |
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50 | 50 | | (4) a basic plan under Chapter 1575; |
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51 | 51 | | (5) a primary care coverage plan under Chapter 1579; |
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52 | 52 | | (6) a plan providing basic coverage under Chapter |
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53 | 53 | | 1601; |
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54 | 54 | | (7) health benefits provided by or through a church |
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55 | 55 | | benefits board under Subchapter I, Chapter 22, Business |
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56 | 56 | | Organizations Code; |
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57 | 57 | | (8) group health coverage made available by a school |
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58 | 58 | | district in accordance with Section 22.004, Education Code; |
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59 | 59 | | (9) the state Medicaid program, including the Medicaid |
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60 | 60 | | managed care program operated under Chapter 533, Government Code; |
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61 | 61 | | (10) the child health plan program under Chapter 62, |
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62 | 62 | | Health and Safety Code; |
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63 | 63 | | (11) a regional or local health care program operated |
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64 | 64 | | under Section 75.104, Health and Safety Code; and |
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65 | 65 | | (12) a self-funded health benefit plan sponsored by a |
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66 | 66 | | professional employer organization under Chapter 91, Labor Code. |
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67 | 67 | | (c) This subchapter applies to coverage under a group health |
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68 | 68 | | benefit plan provided to a resident of this state regardless of |
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69 | 69 | | whether the group policy, agreement, or contract is delivered, |
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70 | 70 | | issued for delivery, or renewed in this state. |
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71 | 71 | | Sec. 1358.103. LIMIT ON COST-SHARING REQUIREMENT. A |
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72 | 72 | | health benefit plan may not impose a cost-sharing provision for |
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73 | 73 | | insulin if the total amount the enrollee is required to pay exceeds |
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74 | 74 | | $25 for a 30-day supply. |
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75 | 75 | | Sec. 1358.104. LIMITATION ON PHARMACY CONTRACTS. A |
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76 | 76 | | contract between a health benefit plan issuer or pharmacy benefit |
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77 | 77 | | manager and a pharmacy may not contain a provision: |
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78 | 78 | | (1) authorizing the issuer's pharmacy benefit manager |
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79 | 79 | | or the pharmacy to charge an amount for insulin greater than the |
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80 | 80 | | amount described by Section 1358.103; |
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81 | 81 | | (2) requiring the pharmacy to collect an amount for |
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82 | 82 | | insulin greater than the amount described by Section 1358.103; or |
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83 | 83 | | (3) requiring an enrollee to make a cost-sharing |
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84 | 84 | | payment for covered insulin in an amount that exceeds the amount |
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85 | 85 | | described by Section 1358.103. |
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86 | 86 | | SECTION 2. (a) Section 1358.103, Insurance Code, as added |
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87 | 87 | | by this Act, applies only to a health benefit plan that is |
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88 | 88 | | delivered, issued for delivery, or renewed on or after January 1, |
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89 | 89 | | 2022. A health benefit plan delivered, issued for delivery, or |
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90 | 90 | | renewed before January 1, 2022, is governed by the law as it existed |
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91 | 91 | | immediately before the effective date of this Act, and that law is |
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92 | 92 | | continued in effect for that purpose. |
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93 | 93 | | (b) Section 1358.104, Insurance Code, as added by this Act, |
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94 | 94 | | applies only to a contract entered into or renewed on or after the |
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95 | 95 | | effective date of this Act. |
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96 | 96 | | SECTION 3. This Act takes effect September 1, 2021. |
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