SRC-JXG C.S.H.B. 1924 76(R)BILL ANALYSIS


Senate Research CenterC.S.H.B. 1924
By: Averitt (Sibley)
Economic Development
5/12/1999
Committee Report (Substituted)


DIGEST 

The Texas Health Insurance Risk Pool (HIRP) was created by the 71st
Legislature and made operational by the 75th Legislature to provide
uninsurable individuals access to health insurance for medical conditions
or diagnoses that result in ineligibility for private insurance coverage.
HIRP is funded by assessing insurers who provide health insurance coverage
in this state, including the assessment of insurers providing long-term
care coverage, which is not offered under HIRP.  Federal High Risk Pool
regulations specifically exempt long-term care and disability insurance
from the list of coverage assessed.  C.S.H.B. 1924 sets forth provisions
regarding health insurance provided by the Texas Health Insurance Risk
Pool, and defines "health insurance." 

PURPOSE

As proposed, C.S.H.B. 1924 sets forth provisions regarding health insurance
provided by the Texas Health Insurance Risk Pool. 

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 Section 2(7), Article 3.77, Insurance Code, to redefine
"health insurance." 

SECTION 2. Amends Article 3.77, Insurance Code, by adding Section 16, as
follows: 

Sec. 16.  Authorizes an insurer to provide a notification to its insureds
regarding the creation of the Texas Health Insurance Pool (HIRP) and the
address for information on cost, coverage, eligibility, and other
information where an insured can compare his or her current health
insurance with the benefits plan offered by HIRP.  Prohibits the insurer
from incurring any liability solely for providing such notification.
Requires an insurer providing notice under Subsection (a) to provide such
notice as prescribed by the commissioner.  Authorizes the commissioner to
promulgate rules to implement this section. 

SECTION 3. Amends Article 3.77, Insurance Code, to make application of this
Act prospective. 

SECTION 4. Effective date: September 1, 1999.

SECTION 5. Emergency clause.