1-1     By:  Harris                                           S.B. No. 1814
 1-2           (In the Senate - Filed March 12, 1999; March 15, 1999, read
 1-3     first time and referred to Committee on Jurisprudence;
 1-4     April 22, 1999, reported adversely, with favorable Committee
 1-5     Substitute by the following vote:  Yeas 4, Nays 0; April 22, 1999,
 1-6     sent to printer.)
 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 1814                  By:  Harris
 1-8                            A BILL TO BE ENTITLED
 1-9                                   AN ACT
1-10     relating to the payment of certain health care expenses as
1-11     additional child support.
1-12           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13           SECTION 1.  Section 154.182, Family Code, is amended by
1-14     amending Subsection (b) and adding Subsection (d) to read as
1-15     follows:
1-16           (b)  Except as provided for by Subdivision (6), in
1-17     determining the manner in which health insurance for the child is
1-18     to be ordered, the court shall render its order in accordance with
1-19     the following priorities, unless a party shows good cause why a
1-20     particular order would not be in the best interest of the child:
1-21                 (1)  if health insurance is available for the child
1-22     through the obligor's employment or membership in a union, trade
1-23     association, or other organization, the court shall order the
1-24     obligor to include the child in the obligor's health insurance;
1-25                 (2)  if health insurance is not available for the child
1-26     through the obligor's employment but is available for the child
1-27     through the obligee's employment or membership in a union, trade
1-28     association, or other organization, the court may order the obligee
1-29     to provide health insurance for the child, and, in such event,
1-30     shall order the obligor to pay additional child support to be
1-31     withheld from earnings under Chapter 158 to the obligee for the
1-32     actual cost of the health insurance for the child;
1-33                 (3)  if health insurance is not available for the child
1-34     under Subdivision (1) or (2), the court shall order the obligor to
1-35     provide health insurance for the child if the court finds that
1-36     health insurance is available for the child from another source,
1-37     including the spouse of the obligor as provided by Subsection (d),
1-38     and that the obligor is financially able to provide it;
1-39                 (4)  if health insurance is not available for the child
1-40     under Subdivision (1), (2), or (3), the court shall order the
1-41     obligor to apply for coverage through the Texas Healthy Kids
1-42     Corporation established under Chapter 109, Health and Safety Code;
1-43                 (5)  if health coverage is not available for the child
1-44     under Subdivision (1), (2), (3), or (4), the court shall order the
1-45     obligor to pay the obligee, in addition to any amount ordered under
1-46     the guidelines for child support, a reasonable amount each month as
1-47     medical support for the child to be withheld from earnings under
1-48     Chapter 158; or
1-49                 (6)  notwithstanding Subdivisions (1) through (3), an
1-50     obligor whose employer, union, trade association, or other
1-51     organization does not offer a child/children coverage option in
1-52     lieu of a spouse/child/children option of health insurance coverage
1-53     may elect to apply for coverage through the Texas Healthy Kids
1-54     Corporation.  An obligor required to pay additional child support
1-55     to an obligee for health insurance coverage may elect to apply for
1-56     coverage through the Texas Healthy Kids Corporation if the
1-57     obligee's employer, union, trade association, or other organization
1-58     does not offer a child/children coverage option in lieu of a
1-59     spouse/child/children option of health insurance coverage.
1-60           (d)  The court may order under Subsection (b)(3) that an
1-61     obligor provide medical support for a child with health insurance
1-62     that is available through the employment of the obligor's spouse or
1-63     the spouse's membership in a union, trade association, or other
1-64     organization only if the spouse agrees to include the child in the
 2-1     spouse's coverage.
 2-2           SECTION 2.  Subchapter D, Chapter 154, Family Code, is
 2-3     amended by adding Section 154.1835 to read as follows:
 2-4           Sec. 154.1835.  PAYMENT OF EXPENSES NOT REIMBURSED BY HEALTH
 2-5     INSURANCE.  (a)  In allocating between the parties health care
 2-6     expenses not reimbursed by health insurance under Section
 2-7     154.183(c), a party who incurs health care expenses that are to be
 2-8     reimbursed in whole or in part by the other party must present the
 2-9     bill for the expenses to the other party not later than the 180th
2-10     day after the date the amount of the unreimbursed expenses is
2-11     determined.  If the bill is not presented to the court that issued
2-12     the original order or the party required to provide reimbursement
2-13     before the expiration of the 180th day, the party incurring the
2-14     expenses forfeits the right to reimbursement from the other party.
2-15           (b)  On receipt of a bill under Subsection (a), the party
2-16     required to provide reimbursement for health care expenses
2-17     reflected in the bill shall remit the amount the party is required
2-18     to pay to the party who incurred the expenses not later than the
2-19     30th day after the date the bill is received.
2-20           SECTION 3.  Article 3.96-2, Insurance Code, is amended to
2-21     read as follows:
2-22           Art. 3.96-2.  Denial of Enrollment Prohibited.  An insurer
2-23     may not deny enrollment of a child under the health insurance
2-24     coverage of the child's parent or a spouse of the parent on the
2-25     ground that the child:
2-26                 (1)  has a preexisting condition;
2-27                 (2)  was born out of wedlock;
2-28                 (3)  is not claimed as a dependent on the [parent's]
2-29     federal income tax return of the parent or spouse;
2-30                 (4)  does not reside with the parent or spouse or in
2-31     the insurer's service area; or
2-32                 (5)  is or has been an applicant for or recipient of
2-33     medical assistance.
2-34           SECTION 4.  Article 3.96-3, Insurance Code, is amended by
2-35     adding Subsection (c) to read as follows:
2-36           (c)  If the spouse of a parent required by a court or
2-37     administrative order to provide health coverage for a child is
2-38     eligible for dependent health coverage through an insurer and is
2-39     ordered under Section 154.182(b)(3), Family Code, to provide health
2-40     coverage for the child, the insurer shall permit the parent to
2-41     enroll the child without regard to any enrollment period
2-42     restriction.
2-43           SECTION 5.  Subsection (a), Article 3.96-7, Insurance Code,
2-44     is amended to read as follows:
2-45           (a)  If a child receives health insurance coverage through
2-46     the insurer of a parent of the child or the parent's spouse, that
2-47     insurer must provide information and documents to each custodial
2-48     parent or an adult child as necessary for the child to obtain
2-49     benefits through that coverage, including:
2-50                 (1)  the name of the insurer;
2-51                 (2)  the number of the policy;
2-52                 (3)  a copy of the policy and schedule of benefits;
2-53                 (4)  a health insurance membership card;
2-54                 (5)  claim forms; and
2-55                 (6)  any other information or document necessary to
2-56     submit a claim in accordance with the insurer's policies and
2-57     procedures.
2-58           SECTION 6.  (a)  This Act takes effect September 1, 1999.
2-59           (b)  The change in law made by this Act applies only to a
2-60     court order or portion of a decree in a suit affecting the
2-61     parent-child relationship providing for the payment of health care
2-62     expenses that is rendered on or after the effective date of this
2-63     Act.  An order or portion of a decree rendered before the effective
2-64     date of this Act is governed by the law in effect on the date the
2-65     order or decree was rendered, and the former law is continued in
2-66     effect for that purpose.
2-67           SECTION 7.  The importance of this legislation and the
2-68     crowded condition of the calendars in both houses create an
2-69     emergency and an imperative public necessity that the
 3-1     constitutional rule requiring bills to be read on three several
 3-2     days in each house be suspended, and this rule is hereby suspended.
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