1-1     By:  Ellis, Madla                                      S.B. No. 258

 1-2           (In the Senate - Filed January 21, 1997; January 23, 1997,

 1-3     read first time and referred to Committee on Economic Development;

 1-4     March 24, 1997, reported adversely, with favorable Committee

 1-5     Substitute by the following vote:  Yeas 9, Nays 0; March 24, 1997,

 1-6     sent to printer.)

 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 258                    By:  Ellis

 1-8                            A BILL TO BE ENTITLED

 1-9                                   AN ACT

1-10     relating to coverage under certain health benefit plans of tests

1-11     for the detection of prostate cancer.

1-12           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-13           SECTION 1.  Subchapter E, Chapter 21, Insurance Code, is

1-14     amended by adding Article 21.53F to read as follows:

1-15           Art. 21.53F.  COVERAGE OF CERTAIN TESTS FOR DETECTION OF

1-16     PROSTATE CANCER

1-17           Sec. 1.  DEFINITION.  In this article, "health benefit plan"

1-18     means a plan described by Section 2 of this article.

1-19           Sec. 2.  SCOPE OF ARTICLE.  (a)  This article applies to a

1-20     health benefit plan that:

1-21                 (1)  provides benefits for medical or surgical expenses

1-22     incurred as a result of a health condition, accident, or sickness,

1-23     including:

1-24                       (A)  an individual, group, blanket, or franchise

1-25     insurance policy or insurance agreement, a group hospital service

1-26     contract, or an individual or group evidence of coverage that is

1-27     offered by:

1-28                             (i)  an insurance company;

1-29                             (ii)  a group hospital service corporation

1-30     operating under Chapter 20 of this code;

1-31                             (iii)  a fraternal benefit society

1-32     operating under Chapter 10 of this code;

1-33                             (iv)  a stipulated premium insurance

1-34     company operating under Chapter 22 of this code; or

1-35                             (v)  a health maintenance organization

1-36     operating under the Texas Health Maintenance Organization Act

1-37     (Chapter 20A, Vernon's Texas Insurance Code); and

1-38                       (B)  to the extent permitted by the Employee

1-39     Retirement Income Security Act of 1974 (29 U.S.C. Section 1001 et

1-40     seq.), a health benefit plan that is offered by:

1-41                             (i)  a multiple employer welfare

1-42     arrangement as defined by Section 3, Employee Retirement Income

1-43     Security Act of 1974 (29 U.S.C. Section 1002); or

1-44                             (ii)  another analogous benefit

1-45     arrangement;

1-46                 (2)  is offered by an approved nonprofit health

1-47     corporation that is certified under Section 5.01(a), Medical

1-48     Practice Act (Article 4495b, Vernon's Texas Civil Statutes), and

1-49     that holds a certificate of authority issued by the commissioner

1-50     under Article 21.52F of this code; or

1-51                 (3)  is offered by any other entity not licensed under

1-52     this code or another insurance law of this state that contracts

1-53     directly for health care services on a risk-sharing basis,

1-54     including an entity that contracts for health care services on a

1-55     capitation basis.

1-56           (b)  This article does not apply to:

1-57                 (1)  a plan that provides coverage:

1-58                       (A)  only for a specified disease;

1-59                       (B)  only for accidental death or dismemberment;

1-60                       (C)  for wages or payments in lieu of wages for a

1-61     period during which an employee is absent from work because of

1-62     sickness or injury; or

1-63                       (D)  as a supplement to liability insurance;

1-64                 (2)  a plan written under Chapter 26 of this code;

 2-1                 (3)  a Medicare supplemental policy as defined by

 2-2     Section 1882(g)(1), Social Security Act (42 U.S.C. Section 1395ss);

 2-3                 (4)  workers' compensation insurance coverage;

 2-4                 (5)  medical payment insurance issued as part of a

 2-5     motor vehicle insurance policy; or

 2-6                 (6)  a long-term care policy, including a nursing home

 2-7     fixed indemnity policy, unless the commissioner determines that the

 2-8     policy provides benefit coverage so comprehensive that the policy

 2-9     is a health benefit plan as described by Subsection (a) of this

2-10     section.

2-11           Sec. 3.  REQUIRED COVERAGE FOR CERTAIN TESTS FOR THE

2-12     DETECTION OF PROSTATE CANCER.  (a)  A health benefit plan that

2-13     provides benefits for diagnostic medical procedures must provide

2-14     coverage for each male enrolled in the plan for expenses incurred

2-15     in conducting an annual medically recognized diagnostic examination

2-16     for the detection of prostate cancer.

2-17           (b)  The minimum benefits provided under Subsection (a) of

2-18     this section must include:

2-19                 (1)  a physical examination for the detection of

2-20     prostate cancer; and

2-21                 (2)  a prostate-specific antigen test used for the

2-22     detection of prostate cancer for each male enrolled in the plan who

2-23     is:

2-24                       (A)  at least 50 years of age and asymptomatic;

2-25     or

2-26                       (B)  at least 40 years of age with a family

2-27     history of prostate cancer or another prostate cancer risk factor.

2-28           Sec. 4.  NOTICE.  Each health benefit plan shall provide

2-29     written notice to each person enrolled in the plan regarding the

2-30     coverage required by this article.  The notice must be provided in

2-31     accordance with rules adopted by the commissioner.

2-32           Sec. 5.  RULES.  The commissioner shall adopt rules as

2-33     necessary to administer this article.

2-34           SECTION 2.  This Act takes effect September 1, 1997, and

2-35     applies only to a health benefit plan that is delivered, issued for

2-36     delivery, or renewed on or after January 1, 1998.  A plan that is

2-37     delivered, issued for delivery, or renewed before January 1, 1998,

2-38     is governed by the law as it existed immediately before the

2-39     effective date of this Act, and that law is continued in effect for

2-40     that purpose.

2-41           SECTION 3.  The importance of this legislation and the

2-42     crowded condition of the calendars in both houses create an

2-43     emergency and an imperative public necessity that the

2-44     constitutional rule requiring bills to be read on three several

2-45     days in each house be suspended, and this rule is hereby suspended.

2-46                                  * * * * *