76R10240 DLF-D By Woolley H.B. No. 3089 Substitute the following for H.B. No. 3089: By Greenberg C.S.H.B. No. 3089 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to long-term care insurance provided for certain public 1-3 employees, retirees, and their family members. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter E, Chapter 3, Insurance Code, is 1-6 amended by adding Article 3.50-2A to read as follows: 1-7 Art. 3.50-2A. TEXAS EMPLOYEES GROUP LONG-TERM CARE INSURANCE 1-8 PROGRAM. (a) In this article: 1-9 (1) "Administering firm" means a firm designated by 1-10 the trustee to administer the group long-term care insurance 1-11 program under this article. 1-12 (2) "Employee" and "trustee" have the meanings 1-13 assigned by Section 3, Texas Employees Uniform Group Insurance 1-14 Benefits Act (Article 3.50-2, Vernon's Texas Insurance Code). 1-15 (b) The trustee may establish a group long-term care 1-16 insurance program to provide long-term care insurance coverage for: 1-17 (1) an employee, including a retired employee; 1-18 (2) a spouse of an employee, including a retired 1-19 employee; 1-20 (3) a parent or grandparent of an employee, including 1-21 a retired employee; and 1-22 (4) the parent of a spouse of an employee, including a 1-23 retired employee. 1-24 (c) The trustee may select an administering firm to 2-1 administer the program under contract to the trustee. The 2-2 administering firm shall bill each program participant directly for 2-3 premiums and any other program cost, and the program participant is 2-4 responsible for the required payment. The premiums and program cost 2-5 may not be deducted from an employee's monthly compensation or a 2-6 retired employee's annuity. 2-7 (d) The group long-term care insurance program is not part 2-8 of the group coverages offered under the Texas Employees Uniform 2-9 Group Insurance Benefits Act (Article 3.50-2, Vernon's Texas 2-10 Insurance Code), and the state may not contribute any part of the 2-11 premiums for coverage offered under this article. The trustee may 2-12 not implement the group long-term care insurance program under this 2-13 section unless any cost or administrative burden associated with 2-14 the development of, implementation of, or communications about the 2-15 program is incidental. 2-16 (e) The trustee may adopt rules as necessary to implement 2-17 this article, including rules specifying the coverage to be offered 2-18 under the group long-term care insurance program. 2-19 SECTION 2. Subchapter E, Chapter 3, Insurance Code, is 2-20 amended by adding Article 3.50-4A to read as follows: 2-21 Art. 3.50-4A. TEXAS PUBLIC SCHOOL EMPLOYEES GROUP LONG-TERM 2-22 CARE INSURANCE PROGRAM. (a) In this article: 2-23 (1) "Administering firm" means a firm designated by 2-24 the trustee to administer the group long-term care insurance 2-25 program under this article. 2-26 (2) "Active employee," "retiree," "surviving spouse," 2-27 and "trustee" have the meanings assigned by Section 2, Article 3-1 3.50-4, Insurance Code. 3-2 (b) The trustee may establish a group long-term care 3-3 insurance program to provide long-term care insurance coverage for: 3-4 (1) an active employee or retiree; 3-5 (2) a spouse of an active employee or retiree, 3-6 including a surviving spouse; 3-7 (3) a parent or grandparent of an active employee or 3-8 retiree; and 3-9 (4) the parent of a spouse of an employee or retiree, 3-10 including the parent of a surviving spouse. 3-11 (c) The trustee may select an administering firm to 3-12 administer the program under contract to the trustee. The 3-13 administering firm shall bill each program participant directly for 3-14 premiums and any other program cost, and the program participant is 3-15 responsible for the required payment. The trustee may not 3-16 implement the group long-term care insurance program under this 3-17 section unless any cost or administrative burden associated with 3-18 the development of, implementation of, or communications about the 3-19 program is incidental. 3-20 (d) The group long-term care insurance program is not part 3-21 of the group coverages offered under Article 3.50-4, Insurance 3-22 Code, and the state may not contribute any part of the premiums for 3-23 coverage offered under this article. 3-24 (e) The trustee may adopt rules as necessary to implement 3-25 this article, including rules specifying the coverage to be offered 3-26 under the group long-term care insurance program. 3-27 SECTION 3. Section 4, Texas State College and University 4-1 Employees Uniform Insurance Benefits Act (Article 3.50-3, Vernon's 4-2 Texas Insurance Code), is amended by adding Subsection (g) to read 4-3 as follows: 4-4 (g) An institution may join with the trustee of the program 4-5 established under the Texas Employees Uniform Group Insurance 4-6 Benefits Act (Article 3.50-2, Vernon's Texas Insurance Code) or the 4-7 trustee of the program established under Article 3.50-4, Insurance 4-8 Code, to provide long-term care insurance coverage. Each 4-9 participating trustee and the governing board of the institution 4-10 must mutually agree to join together for this purpose, subject to 4-11 terms that are beneficial to all participants. An institution may 4-12 not participate in an agreement under this subsection unless any 4-13 cost or administrative burden associated with the development of, 4-14 implementation of, or communications about the long-term care 4-15 coverage program is incidental. 4-16 SECTION 4. The importance of this legislation and the 4-17 crowded condition of the calendars in both houses create an 4-18 emergency and an imperative public necessity that the 4-19 constitutional rule requiring bills to be read on three several 4-20 days in each house be suspended, and this rule is hereby suspended, 4-21 and that this Act take effect and be in force from and after its 4-22 passage, and it is so enacted.