78R8165 T


By:  Farabee                                                      H.B. No. 1798



A BILL TO BE ENTITLED

AN ACT

relating to health maintenance organizations.                                 
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Article 20A.09, Insurance Code, Subsection (a) 
is amended to read as follows:
	EVIDENCE OF COVERAGE AND CHARGES.  (a)  Every enrollee 
residing in this state is entitled to evidence of coverage under a 
health care plan.  If the enrollee obtains coverage under a health 
care plan through an insurance policy or a contract issued by a 
group hospital corporation, whether by option or otherwise, the 
insurer or the group hospital service corporation shall issue the 
evidence of coverage.  Otherwise, the health maintenance 
organization shall issue the evidence of coverage.  By agreement 
between the insurer, group hospital service corporation, or the 
health maintenance organization, and the subscriber, or the person 
entitled to receive the policy, contract, or evidence of coverage, 
the evidence of coverage required by this section may be delivered 
by electronic transfer.
	SECTION 2.  This Act takes effect September 1, 2003.