Texas House Bill HB3126

Texas 2025 - 89th Regular

• Filed: 2/20/25
• Out of House Committee: 4/11/25
• Voted on by House: 4/29/25
• Out of Senate Committee: 5/16/25
• Voted on by Senate: 5/25/25
• Governor Action: 6/20/25

Caption

Relating to the election of certain entities to participate in the uniform group coverage program for active school employees; imposing a fee.

Impact

If enacted, HB3126 would significantly impact the availability of insurance coverage for school employees in Texas. By enabling certain entities that had opted out of the program to reinstate their participation, the bill would help maintain a pool of insurance options and potentially lower premiums through increased participation rates. Furthermore, the bill promotes the financial stability of the group coverage program by imposing a risk stabilization fee on those entities that choose to rejoin. This could lead to greater solvency for the insurance pool and improve the overall quality of coverage provided.

Summary

House Bill 3126 is designed to amend the Insurance Code with respect to certain entities that had previously discontinued participation in the uniform group coverage program for active school employees. Specifically, it allows these entities to re-enter the program before the fifth anniversary of their discontinuation, provided they fulfill certain stipulations such as notifying the trustee by December 31, 2025, and adhering to any additional requirements set by the trustee for participation. The bill aims to ensure that more entities can provide health coverage options to active school employees, thereby enhancing the benefits available to them.

Sentiment

The sentiment surrounding HB3126 appears to be generally positive, particularly among supporters who advocate for the well-being of school employees. Many legislators recognize the importance of providing comprehensive health benefits to educators and are supportive of measures that expand these benefits. However, there may be concerns among skeptics about the financial implications of the imposed fees and the potential burden it may place on the participating entities.

Contention

Notable points of contention regarding HB3126 may revolve around the risk stabilization fee that will be assigned to rejoining entities. Critics may argue that such fees could deter entities from opting back into the program or could complicate the financial landscape for schools that are already strained for resources. Overall, the balance between ensuring adequate coverage for school employees and managing the financial responsibilities of participating entities will be crucial in the ongoing discussions regarding this bill.

Texas Constitutional Statutes Affected

Insurance Code

• Chapter 1579. Texas School Employees Uniform Group Health Coverage
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