Texas 2025 - 89th Regular

Texas House Bill HB3127 Compare Versions

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11 89R6189 SCF-D
22 By: Bhojani H.B. No. 3127
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77 A BILL TO BE ENTITLED
88 AN ACT
99 relating to the time for providing a response to a request for
1010 preauthorization of health benefits.
1111 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1212 SECTION 1. Section 540.0303(b), Government Code, as
1313 effective April 1, 2025, is amended to read as follows:
1414 (b) In addition to the requirements of Subchapter F, a
1515 contract between a Medicaid managed care organization and the
1616 commission to which that subchapter applies must require that the
1717 organization review and issue a determination on a prior
1818 authorization request to which this section applies according to
1919 the following time frames:
2020 (1) within three calendar [business] days after the
2121 organization receives the request; or
2222 (2) within the time frame and following the process
2323 the commission establishes if the organization receives a prior
2424 authorization request that does not include sufficient or adequate
2525 documentation.
2626 SECTION 2. Section 1305.353(d), Insurance Code, is amended
2727 to read as follows:
2828 (d) For services not described under Subsection (e) or (f),
2929 the determination under Subsection (c) must be issued and
3030 transmitted not later than the third calendar [working] day after
3131 the date the request is received. [For the purposes of this
3232 subsection, "working day" has the meaning assigned by Section
3333 4201.002.]
3434 SECTION 3. Subchapter G, Chapter 4201, Insurance Code, is
3535 amended by adding Section 4201.3045 to read as follows:
3636 Sec. 4201.3045. TIME FOR NOTICE REGARDING PREAUTHORIZATION
3737 REQUEST. (a) In this section, "preauthorization" means a
3838 determination that health care services proposed to be provided to
3939 a patient are medically necessary and appropriate.
4040 (b) A utilization review agent must transmit notice of a
4141 determination made in a utilization review of a preauthorization
4242 request not later than the earlier of:
4343 (1) the time by which the notice must be provided under
4444 another provision of this subchapter or other applicable law; or
4545 (2) the third calendar day after the date of the
4646 preauthorization request.
4747 SECTION 4. If before implementing any provision of this Act
4848 a state agency determines that a waiver or authorization from a
4949 federal agency is necessary for implementation of that provision,
5050 the agency affected by the provision shall request the waiver or
5151 authorization and may delay implementing that provision until the
5252 waiver or authorization is granted.
5353 SECTION 5. (a) Section 540.0303(b), Government Code, as
5454 amended by this Act, applies only to a preauthorization request
5555 under a contract entered into on or after the effective date of this
5656 Act. A preauthorization request under a contract entered into
5757 before the effective date of this Act is governed by the law as it
5858 existed immediately before the effective date of this Act, and that
5959 law is continued in effect for that purpose.
6060 (b) Section 1305.353(d), Insurance Code, as amended by this
6161 Act, applies only to a preauthorization request under a workers'
6262 compensation health care network contract entered into or renewed
6363 on or after the effective date of this Act. A preauthorization
6464 request under a workers' compensation health care network contract
6565 entered into or renewed before the effective date of this Act is
6666 governed by the law as it existed immediately before the effective
6767 date of this Act, and that law is continued in effect for that
6868 purpose.
6969 (c) Section 4201.3045, Insurance Code, as added by this Act,
7070 applies only to a preauthorization request under a health insurance
7171 policy or health benefit plan delivered, issued for delivery, or
7272 renewed on or after January 1, 2026, or for which the plan year
7373 commences on or after January 1, 2026. A preauthorization request
7474 under a health insurance policy or health benefit plan delivered,
7575 issued for delivery, or renewed before January 1, 2026, or for which
7676 the plan year commenced before January 1, 2026, is governed by the
7777 law as it existed immediately before the effective date of this Act,
7878 and that law is continued in effect for that purpose.
7979 SECTION 6. This Act takes effect September 1, 2025.