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| 3 | 5 | | |
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| 4 | 6 | | A BILL TO BE ENTITLED |
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| 5 | 7 | | AN ACT |
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| 6 | 8 | | relating to the inclusion of an exclusive dealing or tying clause in |
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| 7 | 9 | | a health care provider network contract. |
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| 8 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 9 | 11 | | SECTION 1. Section 1458.001, Insurance Code, is amended by |
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| 10 | 12 | | adding Subdivisions (3-a) and (9) to read as follows: |
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| 11 | 13 | | (3-a) "Exclusive dealing clause" means a provision in |
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| 12 | 14 | | a provider network contract that implicitly or explicitly restricts |
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| 13 | 15 | | or places conditions on the ability of a general contracting entity |
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| 14 | 16 | | to freely contract with another provider for any period. |
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| 15 | 17 | | (9) "Tying clause" means a provision in a provider |
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| 16 | 18 | | network contract that requires the contract to include one or more |
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| 17 | 19 | | specified members of a provider group, including medical practice |
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| 18 | 20 | | groups and facilities, in: |
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| 19 | 21 | | (A) the general contracting entity's network of |
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| 20 | 22 | | participating providers; |
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| 21 | 23 | | (B) the same network; or |
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| 22 | 24 | | (C) each product offered by the general |
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| 23 | 25 | | contracting entity. |
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| 24 | 26 | | SECTION 2. Sections 1458.101(g) and (h), Insurance Code, |
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| 25 | 27 | | are amended to read as follows: |
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| 26 | 28 | | (g) A provider may not: |
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| 27 | 29 | | (1) offer to a general contracting entity a written |
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| 28 | 30 | | provider network contract that includes an anti-steering, |
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| 29 | 31 | | anti-tiering, exclusive dealing, gag, [or] most favored nation, or |
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| 30 | 32 | | tying clause; |
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| 31 | 33 | | (2) enter into a provider network contract that |
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| 32 | 34 | | includes an anti-steering, anti-tiering, exclusive dealing, gag, |
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| 33 | 35 | | [or] most favored nation, or tying clause; or |
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| 34 | 36 | | (3) amend or renew an existing provider network |
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| 35 | 37 | | contract previously entered into with a general contracting entity |
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| 36 | 38 | | so that the contract as amended or renewed adds or retains an |
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| 37 | 39 | | anti-steering, anti-tiering, exclusive dealing, gag, [or] most |
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| 38 | 40 | | favored nation, or tying clause. |
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| 39 | 41 | | (h) Any provision in a provider network contract that is an |
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| 40 | 42 | | anti-steering, anti-tiering, exclusive dealing, gag, [or] most |
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| 41 | 43 | | favored nation, or tying clause is void and unenforceable. The |
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| 42 | 44 | | remaining provisions in the provider network contract remain in |
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| 43 | 45 | | effect and are enforceable. |
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| 44 | 46 | | SECTION 3. The changes in law made by this Act apply only to |
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| 45 | 47 | | a contract entered into or renewed on or after the effective date of |
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| 46 | 48 | | this Act. A contract entered into or renewed before the effective |
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| 47 | 49 | | date of this Act is governed by the law as it existed immediately |
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| 48 | 50 | | before the effective date of this Act, and that law is continued in |
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| 49 | 51 | | effect for that purpose. |
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| 50 | 52 | | SECTION 4. This Act takes effect immediately if it receives |
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| 51 | 53 | | a vote of two-thirds of all the members elected to each house, as |
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| 52 | 54 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 53 | 55 | | Act does not receive the vote necessary for immediate effect, this |
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| 54 | 56 | | Act takes effect September 1, 2025. |
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