By: Schwertner, Buckingham, Campbell  S.B. No. 207
         (In the Senate - Filed November 17, 2020; March 3, 2021,
  read first time and referred to Committee on State Affairs;
  April 7, 2021, reported adversely, with favorable Committee
  Substitute by the following vote:  Yeas 6, Nays 3; April 7, 2021,
  sent to printer.)
Click here to see the committee vote
 
  COMMITTEE SUBSTITUTE FOR S.B. No. 207 By:  Nelson
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to recovery of medical or health care expenses in civil
  actions.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 41.0105, Civil Practice and Remedies
  Code, is amended to read as follows:
         Sec. 41.0105.  EVIDENCE RELATING TO AMOUNT OF ECONOMIC
  DAMAGES.  (a)  In addition to any other limitation under law,
  recovery of medical or health care expenses in a civil action
  [incurred] is determined in accordance with this section [limited
  to the amount actually paid or incurred by or on behalf of the
  claimant].
         (b)  In a civil action in which medical or health care
  expenses are actually paid by the claimant, a health benefit plan,
  workers' compensation insurance, an employer-provided plan,
  Medicaid, or Medicare, a party may introduce in evidence only the
  amounts actually paid to the medical or health care provider for the
  services provided to the person whose injury or death is the subject
  of the action.
         (c)  In a civil action other than an action described by
  Subsection (b), a party may introduce evidence that has a tendency
  to prove the fair and reasonable value of the necessary medical or
  health care services provided to the person whose injury or death is
  the subject of the action.
         (d)  In any civil action, a party may introduce in evidence
  the amounts paid to a medical or health care provider for services
  provided to the person whose injury or death is the subject of the
  action by a cafeteria plan or health savings account or by any
  person to satisfy a copayment or deductible.
         (e)  In any civil action in which a claimant seeks recovery
  of medical or health care expenses, the claimant shall disclose to
  all parties any formal or informal agreement under which the
  medical or health care provider who provided the services may
  wholly or partly refund, rebate, or remit any amount of money or
  give anything of value to the claimant or anyone associated with the
  claimant.
         SECTION 2.  Section 18.001, Civil Practice and Remedies
  Code, is amended by amending Subsections (b), (c), (e), (e-1), (h),
  and (i) and adding Subsection (b-1) to read as follows:
         (b)  Unless notice of intent to controvert the
  reasonableness of the amounts charged or the necessity for medical
  services [a controverting affidavit] is served as provided by this
  section, an affidavit complying with this section and stating that
  the amount a person charged for a service was reasonable at the time
  and place that the service was provided and that the service was
  necessary is sufficient evidence to support a finding of fact by
  judge or jury that the amount charged was reasonable or that the
  service was necessary.  The affidavit is not evidence of and does
  not support a finding of the causation element of the cause of
  action that is the basis for the civil action.
         (b-1)  Notwithstanding Subsection (b), the reasonableness of
  charges and the necessity of services are matters for decision by
  the finder of fact, and the affidavit described by Subsection (b)
  has no effect except to prove the authenticity of the medical
  records described by the affidavit if notice of intent to
  controvert the reasonableness of the amounts charged or necessity
  for medical services is served as provided by this section.
         (c)  The affidavit must:
               (1)  be taken before an officer with authority to
  administer oaths;
               (2)  be made by:
                     (A)  the person who provided the service; or
                     (B)  the person in charge of records showing the
  service provided and charge made; and
               (3)  include an itemized statement of the service and
  charge using the current version of the form CMS-1450 or UB-04 or
  CMS-1500 or HFCA-1500, as applicable.
         (e)  A party intending to controvert the reasonableness of
  the amounts charged or necessity for medical services [a claim
  reflected by the affidavit] must serve notice of that intent [a copy
  of the counteraffidavit] on each other party or the party's
  attorney of record by the earlier of:
               (1)  120 days after the date the defendant files its
  answer;
               (2)  the date the party serving notice [offering the
  counteraffidavit] must designate expert witnesses under a court
  order; or
               (3)  the date the party serving notice [offering the
  counteraffidavit] must designate any expert witness as required by
  the Texas Rules of Civil Procedure.
         (e-1)  Notwithstanding Subsection (e), if the party offering
  the affidavit [in evidence] serves a copy of the affidavit under
  Subsection (d-1), notice of intent to controvert the reasonableness
  of the amounts charged or necessity for medical services must be
  served [the party offering the counteraffidavit in evidence or the
  party's attorney must serve a copy of the counteraffidavit] on each
  other party to the case by the later of:
               (1)  30 days after service of the affidavit on the party
  serving notice [offering the counteraffidavit in evidence];
               (2)  the date the party serving notice [offering the
  counteraffidavit] must designate any expert witness under a court
  order; or
               (3)  the date the party serving notice [offering the
  counteraffidavit in evidence] must designate any expert witness as
  required by the Texas Rules of Civil Procedure.
         (h)  If continuing services are provided after a relevant
  deadline under this section:
               (1)  a party may supplement an affidavit served by the
  party under Subsection (d) or (d-1) on or before the 60th day before
  the date the trial commences; and
               (2)  a party that served notice [a counteraffidavit]
  under Subsection (e) or (e-1) may serve notice related to the
  supplemental affidavit [supplement the counteraffidavit] on or
  before the 30th day before the date the trial commences.
         (i)  Notwithstanding Subsections (d), (d-1), (d-2), (e),
  (e-1), [(g),] and (h), a deadline under this section may be altered
  by all parties to an action by agreement or with leave of the court.
         SECTION 3.  Sections 18.001(f) and (g), Civil Practice and
  Remedies Code, are repealed.
         SECTION 4.  Sections 18.001 and 41.0105, Civil Practice and
  Remedies Code, as amended by this Act, apply only to an action
  commenced on or after the effective date of this Act. An action
  commenced before the effective date of this Act is governed by the
  law applicable to the action immediately before the effective date
  of this Act, and that law is continued in effect for that purpose.
         SECTION 5.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2021.
 
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