By: Bell of Montgomery H.B. No. 351
A BILL TO BE ENTITLED
AN ACT
relating to the provision of workers' compensation insurance and
group accident and health insurance together in a packaged plan.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle E, Title 10, Insurance Code, is amended
by adding Chapter 2056 to read as follows:
CHAPTER 2056. PACKAGED PLAN OF WORKERS' COMPENSATION AND ACCIDENT
AND HEALTH INSURANCE
Sec. 2056.001. DEFINITIONS. In this chapter:
(1) "Packaged plan" means a plan offering a workers'
compensation insurance policy together with a group accident and
health insurance policy as described in Section 2056.002.
(2) "Workers' compensation insurance company" means a
stock company, mutual insurance company, reciprocal or
interinsurance exchange, or Lloyd's plan authorized to engage in
the business of workers' compensation insurance in this state.
Sec. 2056.002. CONTRACT WITH ACCIDENT AND HEALTH INSURANCE
COMPANY TO PROVIDE PACKAGED PLAN. (a) A workers' compensation
insurance company may contract with an accident and health
insurance company to offer to employers a workers' compensation
insurance policy and a group accident and health insurance policy
together in one packaged plan under which employees and their
dependents are eligible for major medical expense coverage and
employees are covered by workers' compensation insurance.
(b) Nothing in this chapter authorizes a workers'
compensation insurance company to underwrite group accident and
health insurance policies.
(c) A group accident and health insurance policy offered as
part of a packaged plan must be provided by an entity that is
authorized to write group accident and health insurance and is
separate from the workers' compensation insurance company.
(d) To the extent employees contribute to the premiums for
group accident and health coverage provided under a packaged plan
offered under this section, those contributions must exclude any
portion of the premiums allocated to the provision of workers'
compensation insurance.
(e) Notwithstanding any other provision of this chapter, an
accident and health insurance company or workers' compensation
insurance company that contracts to provide a packaged plan under
this chapter is subject to the requirements imposed on an insurance
company under this code for the company's respective lines of
insurance, including the payment of premium and maintenance taxes,
maintenance of reserves, and membership in a guaranty association.
Sec. 2056.003. RULES. The commissioner shall adopt rules
as necessary to implement this chapter.
SECTION 2. Chapter 2056, Insurance Code, as added by this
Act, applies only to a workers' compensation insurance policy and a
group accident and health insurance policy delivered, issued for
delivery, or renewed on or after January 1, 2024.
SECTION 3. This Act takes effect September 1, 2023.