1 | 1 | | H.B. No. 1647 |
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2 | 2 | | |
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3 | 3 | | |
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4 | 4 | | AN ACT |
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5 | 5 | | relating to health benefit plan coverage of clinician-administered |
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6 | 6 | | drugs. |
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7 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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8 | 8 | | SECTION 1. Chapter 1369, Insurance Code, is amended by |
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9 | 9 | | adding Subchapter Q to read as follows: |
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10 | 10 | | SUBCHAPTER Q. CLINICIAN-ADMINISTERED DRUGS |
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11 | 11 | | Sec. 1369.761. DEFINITIONS. In this subchapter: |
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12 | 12 | | (1) "Administer" means to directly apply a drug to the |
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13 | 13 | | body of a patient by injection, inhalation, ingestion, or any other |
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14 | 14 | | means. |
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15 | 15 | | (2) "Clinician-administered drug" means an outpatient |
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16 | 16 | | prescription drug other than a vaccine that: |
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17 | 17 | | (A) cannot reasonably be: |
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18 | 18 | | (i) self-administered by the patient to |
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19 | 19 | | whom the drug is prescribed; or |
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20 | 20 | | (ii) administered by an individual |
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21 | 21 | | assisting the patient with the self-administration; and |
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22 | 22 | | (B) is typically administered: |
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23 | 23 | | (i) by a physician or other health care |
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24 | 24 | | provider authorized under the laws of this state to administer the |
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25 | 25 | | drug, including when acting under a physician's delegation and |
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26 | 26 | | supervision; and |
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27 | 27 | | (ii) in a physician's office. |
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28 | 28 | | (3) "Health care provider" means an individual who is |
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29 | 29 | | licensed, certified, or otherwise authorized to provide health care |
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30 | 30 | | services in this state. |
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31 | 31 | | (4) "Physician" means an individual licensed to |
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32 | 32 | | practice medicine in this state. |
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33 | 33 | | Sec. 1369.762. APPLICABILITY OF SUBCHAPTER. (a) This |
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34 | 34 | | subchapter applies only to a health benefit plan that provides |
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35 | 35 | | benefits for medical or surgical expenses incurred as a result of a |
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36 | 36 | | health condition, accident, or sickness, including an individual, |
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37 | 37 | | group, blanket, or franchise insurance policy or insurance |
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38 | 38 | | agreement, a group hospital service contract, or an individual or |
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39 | 39 | | group evidence of coverage or similar coverage document that is |
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40 | 40 | | offered by: |
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41 | 41 | | (1) an insurance company; |
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42 | 42 | | (2) a group hospital service corporation operating |
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43 | 43 | | under Chapter 842; |
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44 | 44 | | (3) a health maintenance organization operating under |
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45 | 45 | | Chapter 843; |
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46 | 46 | | (4) an approved nonprofit health corporation that |
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47 | 47 | | holds a certificate of authority under Chapter 844; |
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48 | 48 | | (5) a multiple employer welfare arrangement that holds |
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49 | 49 | | a certificate of authority under Chapter 846; |
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50 | 50 | | (6) a stipulated premium company operating under |
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51 | 51 | | Chapter 884; |
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52 | 52 | | (7) a fraternal benefit society operating under |
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53 | 53 | | Chapter 885; |
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54 | 54 | | (8) a Lloyd's plan operating under Chapter 941; or |
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55 | 55 | | (9) an exchange operating under Chapter 942. |
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56 | 56 | | (b) Notwithstanding any other law, this subchapter applies |
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57 | 57 | | to: |
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58 | 58 | | (1) a small employer health benefit plan subject to |
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59 | 59 | | Chapter 1501, including coverage provided through a health group |
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60 | 60 | | cooperative under Subchapter B of that chapter; |
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61 | 61 | | (2) a standard health benefit plan issued under |
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62 | 62 | | Chapter 1507; |
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63 | 63 | | (3) group health coverage made available by a school |
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64 | 64 | | district in accordance with Section 22.004, Education Code; |
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65 | 65 | | (4) a regional or local health care program operating |
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66 | 66 | | under Section 75.104, Health and Safety Code; and |
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67 | 67 | | (5) a self-funded health benefit plan sponsored by a |
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68 | 68 | | professional employer organization under Chapter 91, Labor Code. |
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69 | 69 | | Sec. 1369.763. EXCEPTIONS TO APPLICABILITY OF SUBCHAPTER. |
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70 | 70 | | (a) This subchapter does not apply to an issuer or provider of |
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71 | 71 | | health benefits under or a pharmacy benefit manager administering |
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72 | 72 | | pharmacy benefits under: |
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73 | 73 | | (1) the state Medicaid program, including the Medicaid |
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74 | 74 | | managed care program under Chapter 533, Government Code; |
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75 | 75 | | (2) the child health plan program under Chapter 62, |
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76 | 76 | | Health and Safety Code; |
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77 | 77 | | (3) the TRICARE military health system; or |
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78 | 78 | | (4) a workers' compensation insurance policy or other |
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79 | 79 | | form of providing medical benefits under Title 5, Labor Code. |
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80 | 80 | | (b) This subchapter does not apply to a prescription drug |
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81 | 81 | | administered in a hospital, hospital facility-based practice |
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82 | 82 | | setting, or hospital outpatient infusion center. |
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83 | 83 | | Sec. 1369.764. CERTAIN LIMITATIONS ON COVERAGE OF |
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84 | 84 | | CLINICIAN-ADMINISTERED DRUGS PROHIBITED. (a) Subject to |
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85 | 85 | | Subsection (b), a health benefit plan issuer may not, for an |
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86 | 86 | | enrollee with a chronic, complex, rare, or life-threatening medical |
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87 | 87 | | condition: |
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88 | 88 | | (1) require clinician-administered drugs to be |
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89 | 89 | | dispensed only by certain pharmacies or only by pharmacies |
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90 | 90 | | participating in the health benefit plan issuer's network; |
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91 | 91 | | (2) if a clinician-administered drug is otherwise |
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92 | 92 | | covered, limit or exclude coverage for such drugs based on the |
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93 | 93 | | enrollee's choice of pharmacy or because the drug was not dispensed |
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94 | 94 | | by a pharmacy that participates in the health benefit plan issuer's |
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95 | 95 | | network; |
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96 | 96 | | (3) require a physician or health care provider |
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97 | 97 | | participating in the health benefit plan issuer's network to bill |
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98 | 98 | | for or be reimbursed for the delivery and administration of |
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99 | 99 | | clinician-administered drugs under the pharmacy benefit instead of |
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100 | 100 | | the medical benefit without: |
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101 | 101 | | (A) informed written consent of the patient; and |
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102 | 102 | | (B) a written attestation by the patient's |
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103 | 103 | | physician or health care provider that a delay in the drug's |
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104 | 104 | | administration will not place the patient at an increased health |
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105 | 105 | | risk; or |
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106 | 106 | | (4) require that an enrollee pay an additional fee, |
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107 | 107 | | higher copay, higher coinsurance, second copay, second |
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108 | 108 | | coinsurance, or any other price increase for |
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109 | 109 | | clinician-administered drugs based on the enrollee's choice of |
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110 | 110 | | pharmacy or because the drug was not dispensed by a pharmacy that |
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111 | 111 | | participates in the health benefit plan issuer's network. |
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112 | 112 | | (b) Subsection (a) applies only if the patient's physician |
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113 | 113 | | or health care provider determines that: |
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114 | 114 | | (1) a delay of care would make disease progression |
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115 | 115 | | probable; or |
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116 | 116 | | (2) the use of a pharmacy within the health benefit |
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117 | 117 | | plan issuer's network would: |
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118 | 118 | | (A) make death or patient harm probable; |
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119 | 119 | | (B) potentially cause a barrier to the patient's |
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120 | 120 | | adherence to or compliance with the patient's plan of care; or |
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121 | 121 | | (C) because of the timeliness of the delivery or |
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122 | 122 | | dosage requirements, necessitate delivery by a different pharmacy. |
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123 | 123 | | (c) Nothing in this section may be construed to: |
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124 | 124 | | (1) authorize a person to administer a drug when |
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125 | 125 | | otherwise prohibited under the laws of this state or federal law; or |
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126 | 126 | | (2) modify drug administration requirements under the |
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127 | 127 | | laws of this state, including any requirements related to |
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128 | 128 | | delegation and supervision of drug administration. |
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129 | 129 | | SECTION 2. Subchapter Q, Chapter 1369, Insurance Code, as |
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130 | 130 | | added by this Act, applies only to a health benefit plan that is |
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131 | 131 | | delivered, issued for delivery, or renewed on or after January 1, |
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132 | 132 | | 2024. |
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133 | 133 | | SECTION 3. This Act takes effect September 1, 2023. |
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134 | 134 | | ______________________________ ______________________________ |
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135 | 135 | | President of the Senate Speaker of the House |
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136 | 136 | | I certify that H.B. No. 1647 was passed by the House on April |
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137 | 137 | | 21, 2023, by the following vote: Yeas 139, Nays 1, 1 present, not |
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138 | 138 | | voting. |
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139 | 139 | | ______________________________ |
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140 | 140 | | Chief Clerk of the House |
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141 | 141 | | I certify that H.B. No. 1647 was passed by the Senate on May |
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142 | 142 | | 19, 2023, by the following vote: Yeas 31, Nays 0. |
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143 | 143 | | ______________________________ |
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144 | 144 | | Secretary of the Senate |
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145 | 145 | | APPROVED: _____________________ |
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146 | 146 | | Date |
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147 | 147 | | _____________________ |
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148 | 148 | | Governor |
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