1-1     By:  Moncrief                                         S.B. No. 1467
 1-2           (In the Senate - Filed March 8, 2001; March 13, 2001, read
 1-3     first time and referred to Committee on Business and Commerce;
 1-4     April 27, 2001, reported favorably by the following vote:  Yeas 6,
 1-5     Nays 0; April 27, 2001, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to coverage for tests for the detection of colorectal
 1-9     cancer under certain health benefit plans.
1-10           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11           SECTION 1.  Subchapter E, Chapter 21, Insurance Code, is
1-12     amended by adding Article 21.53S to read as follows:
1-13           Art. 21.53S.  COVERAGE OF CERTAIN TESTS FOR DETECTION OF
1-14     COLORECTAL CANCER
1-15           Sec. 1.  DEFINITION.  In this article, "health benefit plan"
1-16     means a plan described by Section 2 of this article.
1-17           Sec. 2.  SCOPE OF ARTICLE.  (a)  This article applies to a
1-18     health benefit plan that:
1-19                 (1)  provides benefits for medical or surgical expenses
1-20     incurred as a result of a health condition, accident, or sickness,
1-21     including:
1-22                       (A)  an individual, group, blanket, or franchise
1-23     insurance policy or insurance agreement, a group hospital service
1-24     contract, or an individual or group evidence of coverage that is
1-25     offered by:
1-26                             (i)  an insurance company;
1-27                             (ii)  a group hospital service corporation
1-28     operating under Chapter 20 of this code;
1-29                             (iii)  a fraternal benefit society
1-30     operating under Chapter 10 of this code;
1-31                             (iv)  a stipulated premium insurance
1-32     company operating under Chapter 22 of this code; or
1-33                             (v)  a health maintenance organization
1-34     operating under the Texas Health Maintenance Organization Act
1-35     (Chapter 20A, Vernon's Texas Insurance Code); and
1-36                       (B)  to the extent permitted by the Employee
1-37     Retirement Income Security Act of 1974 (29 U.S.C. Section 1001 et
1-38     seq.), a health benefit plan that is offered by:
1-39                             (i)  a multiple employer welfare
1-40     arrangement as defined by Section 3, Employee Retirement Income
1-41     Security Act of 1974 (29 U.S.C. Section 1002); or
1-42                             (ii)  another analogous benefit
1-43     arrangement;
1-44                 (2)  is offered by an approved nonprofit health
1-45     corporation that is certified under Section 162.001, Occupations
1-46     Code, and that holds a certificate of authority issued by the
1-47     commissioner under Article 21.52F of this code;
1-48                 (3)  is offered by any other entity not licensed under
1-49     this code or another insurance law of this state that contracts
1-50     directly for health care services on a risk-sharing basis,
1-51     including an entity that contracts for health care services on a
1-52     capitation basis; or
1-53                 (4)  notwithstanding Section 172.014, Local Government
1-54     Code, or any other law, provides health and accident coverage
1-55     through a risk pool created under Chapter 172, Local Government
1-56     Code.
1-57           (b)  This article does not apply to:
1-58                 (1)  a plan that provides coverage:
1-59                       (A)  only for a specified disease or other
1-60     limited benefit;
1-61                       (B)  only for accidental death or dismemberment;
1-62                       (C)  for wages or payments in lieu of wages for a
1-63     period during which an employee is absent from work because of
1-64     sickness or injury;
 2-1                       (D)  as a supplement to liability insurance; or
 2-2                       (E)  only for indemnity for hospital confinement;
 2-3                 (2)  a plan written under Chapter 26 of this code;
 2-4                 (3)  a Medicare supplemental policy as defined by
 2-5     Section 1882(g)(1), Social Security Act (42 U.S.C. Section 1395ss),
 2-6     as amended;
 2-7                 (4)  workers' compensation insurance coverage;
 2-8                 (5)  medical payment insurance issued as part of a
 2-9     motor vehicle insurance policy; or
2-10                 (6)  a long-term care policy, including a nursing home
2-11     fixed indemnity policy, unless the commissioner determines that the
2-12     policy provides benefit coverage so comprehensive that the policy
2-13     is a health benefit plan as described by Subsection (a) of this
2-14     section.
2-15           Sec. 3.  REQUIRED COVERAGE FOR CERTAIN TESTS FOR THE
2-16     DETECTION OF COLORECTAL CANCER.  (a)  A health benefit plan that
2-17     provides benefits for diagnostic medical procedures must provide
2-18     coverage for each person enrolled in the plan who is 50 years of
2-19     age or older for expenses incurred in conducting a medically
2-20     recognized diagnostic examination for the detection of colorectal
2-21     cancer.
2-22           (b)  The minimum benefits provided under Subsection (a) of
2-23     this section must include:
2-24                 (1)  a fecal occult blood test, performed annually;
2-25                 (2)  a flexible sigmoidoscopy with hemoccult of the
2-26     stool, performed every five years; and
2-27                 (3)  a colonoscopy performed every 10 years.
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, 2001, 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, 2002.  A plan that is
2-37     delivered, issued for delivery, or renewed before January 1, 2002,
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.
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