Texas 2025 - 89th Regular

Texas Senate Bill SB547 Compare Versions

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1-By: Menéndez, Alvarado S.B. No. 547
2- Hinojosa of Nueces
1+By: Menéndez S.B. No. 547
2+ (In the Senate - Filed December 6, 2024; February 3, 2025,
3+ read first time and referred to Committee on Health & Human
4+ Services; April 28, 2025, reported adversely, with favorable
5+ Committee Substitute by the following vote: Yeas 9, Nays 0;
6+ April 28, 2025, sent to printer.)
7+Click here to see the committee vote
8+ COMMITTEE SUBSTITUTE FOR S.B. No. 547 By: Perry
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713 A BILL TO BE ENTITLED
814 AN ACT
915 relating to notice from a health benefit plan issuer regarding a
1016 physician's or health care provider's preauthorization exemption
1117 status.
1218 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1319 SECTION 1. Section 4201.659(e), Insurance Code, is amended
1420 to read as follows:
1521 (e) If a physician or provider submits a preauthorization
1622 request for a health care service for which the physician or
1723 provider qualifies for an exemption from preauthorization
1824 requirements under Section 4201.653, the health maintenance
1925 organization or insurer must promptly provide a notice to the
2026 physician or provider that includes:
2127 (1) a statement that the physician or provider
2228 qualifies for an exemption from preauthorization requirements
2329 under Section 4201.653;
2430 (2) a list of the health care services and health
2531 benefit plans to which the exemption applies;
2632 (3) a statement of the duration of the exemption [the
2733 information described by Subsection (d)]; and
2834 (4) [(2)] a notification of the health maintenance
2935 organization's or insurer's payment requirements.
3036 SECTION 2. Subchapter N, Chapter 4201, Insurance Code, is
3137 amended by adding Section 4201.660 to read as follows:
3238 Sec. 4201.660. EXEMPTION STATUS NOTIFICATION TO
3339 DEPARTMENT; DATABASE AND REPORT. (a) A health maintenance
3440 organization or insurer that uses a preauthorization process for
3541 health care services shall provide written notice to the department
3642 of a physician's or provider's preauthorization exemption status
3743 under this subchapter not later than the 10th day after the date on
3844 which the health maintenance organization or insurer:
3945 (1) completes an evaluation of the physician or
4046 provider as required by Section 4201.653(b) and determines whether
4147 the physician or provider qualifies for an exemption;
4248 (2) determines that the health maintenance
4349 organization or insurer will continue the physician's or provider's
4450 exemption under Section 4201.653(c);
4551 (3) provides notice to the physician or provider of a
4652 determination to rescind the physician's or provider's exemption;
4753 or
4854 (4) makes an internal appeal determination or receives
4955 a determination from an independent review organization under
5056 Section 4201.656 affirming or denying the health maintenance
5157 organization's or insurer's determination to rescind the
5258 physician's or provider's exemption.
5359 (b) The department shall establish and maintain a database
5460 of preauthorization exemption grants, denials, recissions, and
5561 internal appeal and independent review determinations. On the
5662 request of a physician or provider, the department shall provide
5763 the physician or provider with information regarding the
5864 physician's or provider's preauthorization exemption status with
5965 respect to each relevant health maintenance organization or insurer
6066 and with respect to each relevant health care service.
6167 (c) The department shall collect and compile data
6268 regarding:
6369 (1) the number and timing of evaluations being
6470 conducted by each health maintenance organization or insurer under
6571 this subchapter;
6672 (2) the number of internal appeals or independent
6773 reviews conducted by or with respect to each health maintenance
6874 organization or insurer under this subchapter;
6975 (3) the number of exemptions granted, denied, or
7076 rescinded by each health maintenance organization or insurer, by
7177 provider type and health care service; and
7278 (4) the number and outcomes of internal appeals or
7379 independent reviews conducted by or with respect to each health
7480 maintenance organization or insurer.
7581 (d) The department shall annually prepare a statistical
7682 report reflecting the data collected under Subsection (c) and make
7783 the report available to the public on request.
7884 SECTION 3. Section 4201.659(d), Insurance Code, is
7985 repealed.
8086 SECTION 4. Subchapter N, Chapter 4201, Insurance Code, as
8187 amended by this Act, applies only to a determination regarding a
8288 physician's or provider's preauthorization exemption status made on
8389 or after the effective date of this Act. A determination made
8490 before the effective date of this Act is governed by the law as it
8591 existed immediately before the effective date of this Act, and that
8692 law is continued in effect for that purpose.
8793 SECTION 5. This Act takes effect September 1, 2025.
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