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House Bill 1869 |
House Author: Price et al. |
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Effective: 1-1-14 |
Senate Sponsor: Duncan |
House Bill 1869 adds a chapter to the Civil Practice and Remedies Code relating to contractual subrogation rights of payors of certain benefits. The bill authorizes an issuer of a health benefit plan that provides specified types of coverage and related insurance policies, under which the policy or plan issuer may be obligated to make payments or provide medical or surgical benefits to or on behalf of a covered individual as a result of a personal injury to the individual caused by a third party's tortious conduct, to contract to be subrogated to and have a right of reimbursement for payments made or costs of benefits provided from the individual's recovery for that injury, subject to the bill's provisions. The bill specifies which plans, coverages, and policies are subject to this chapter and which are exempt. The bill establishes limitations on a payor's recovery; sets out provisions concerning attorney's fees in declaratory judgment actions and in recovery actions; prohibits first-party recovery except under certain conditions; and establishes that its provisions do not create a cause of action.
House Bill 1869 repeals the Local Government Code section relating to subrogation rights and recovery procedures under the Texas Political Subdivisions Uniform Group Benefits Act.