SRC-JFA H.B. 864 75(R) BILL ANALYSIS Senate Research Center H.B. 864 By: McCall (Patterson) Economic Development 5-14-97 Engrossed DIGEST Currently, health benefit plans are not required to provide coverage for a full-time college student for an entire academic term. Some students may be removed from their parent's insurance policy for reducing their course load or temporarily dropping out of school. This bill would requires health benefit plans which provide coverage for full-time college students who are 21 under their parent's policy to provide coverage for an entire academic term, regardless of whether the course load is reduced to less than that of a full-time student. PURPOSE As proposed, H.B. 864 requires health benefit plans which provide coverage for full-time college students who are over 21 under their parent's policy to provide coverage for an entire academic term, regardless of whether the course load is reduced to less than that of a full-time student. RULEMAKING AUTHORITY This bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Chapter 21C, Insurance Code, by adding Article 21.24-2, as follows: Art. 21.24-2. GROUP COVERAGE OF CERTAIN STUDENTS Sec. 1. DEFINITION. Defines "health benefit plan." Sec. 2. SCOPE OF ARTICLE. Provides that this article applies to certain health benefit plans. Provides that this article does not apply to certain plans. Sec. 3. COVERAGE OF CERTAIN STUDENTS. Requires each health benefit plan that conditions dependent coverage for a child 21 years of age or older on the child's being a fulltime student at an educational institution to provide the coverage for an entire academic term during which the child begins as a full-time student and remains enrolled, regardless of whether the number of hours of instruction for which the child is enrolled is reduced to a level that changes the child's academic status to less than that of a full-time student. Requires the health benefit plan to provide coverage continuously until the 10th day of instruction of the subsequent academic term on which date the health benefit plan may terminate coverage of the child if the child does not return to full-time student status before that date. Provides that for purposes of this section, determination of the full-time student status of a child subject to this article is made in the manner provided by the educational institution at which the child is enrolled. SECTION 2. Makes application of this Act prospective to January 1, 1998. SECTION 3. Emergency clause. Effective date: 90 days after adjournment.