79R9146 T

By:  Harris                                                       S.B. No. 1149


A BILL TO BE ENTITLED
AN ACT
relating to the regulation of electronic transmissions of health benefit information between a health care insurer and a physician or health care provider. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Title 6, Subtitle C, Insurance Code, is amended by adding a new Chapter 847, to read as follows:
CHAPTER 847. ELECTRONIC TRANSMISSION OF ELIGIBILITY AND PAYMENT STATUS.
Section 847.001. Definitions. In this Chapter: (1) "Enrollee" means an individual who is covered by a policy of insurance for health care or enrolled in a health care plan and includes covered dependents. (2) "Health Care Insurer" means a health maintenance organization operating under Chapter 843 of this code, a preferred provider operating under Chapter 1301 of this Code, an approved nonprofit health corporation that holds a certificate of authority under Chapter 844 of this Code, and any other entity that issues a health care plan including: (A) an insurance company; (B) a group hospital service corporation operating under Chapter 842 of this Code; (C) a fraternal benefit society operating under Chapter 885 of this Code; or (D) a stipulated premium company operating under Chapter 884 of this Code. (2) "Health Care Provider" means: (A) a person, other than a physician, who is licensed or otherwise authorized to provide a health care service in this state, including: (i) a pharmacist, dentist, or (ii) a pharmacy, hospital, or other institution or organization; (B) a person who is wholly owned or controlled by a provider or by a group of providers who are licensed or otherwise authorized to provide the same health care service; or (C) a person who is wholly owned or controlled by one or more hospitals and physicians, including a physician-hospital organization. (3) "Participating provider" means a physician or health care provider who contracts with an insurer to provide medical care or health care to insureds covered by a health insurance policy, certificate or contract. (4) "Physician" means: (A) an individual licensed to practice medicine in this state under the authority of Title 3, Subtitle B, Occupations Code; (B) a professional association organized under the Texas Professional Association Act (Article 1528f, Vernon's Texas Civil Statutes); (C) an approved nonprofit health corporation certified under Chapter 162, Occupations Code; (D) a medical school or medical and dental unit, as defined or described by Section 61.003, 61.501, or 74.601, Education Code, that employs or contracts with physicians to teach or provide medical services or employs physicians and contracts with physicians in a practice plan; or (E) another person wholly owned by physicians. Section 847.002. Real Time Transmission of Enrollee Eligibility and Payment Status. Each health care insurer must make available, telephonically or electronically, to each participating provider information sufficient for the provider to determine at the time of an enrollee's visit: (a) Information concerning the enrollee including: (A) subscriber identification number; (B) name of enrollee and all covered dependents; (C) birth date of enrollee and birthdates of all covered dependents; (D) gender of enrollee and gender of each covered dependent; (E) marital status of enrollee and of each covered dependent; (F) current enrollment and eligibility status with the insurer. (b) Information concerning enrollee benefits including: (A) covered benefits; (B) excluded benefits, both group and individual; (C) hospitals and participating providers; and (D) a listing of physicians with hospital privileges by hospital. (c) Information concerning enrollee financial information including (A) co-payment requirements and current status applicable to the enrollee's coverage policy; and (B) the amount of the enrollee's deductible or co-insurance balance owing at the time of the visit. 847.003. CERTAIN CHARGES PROHIBITED. A health care insurer may not directly or indirectly charge or hold a physician, health care provider or enrollee responsible for a fee for making available or accessing information under this chapter. 847.004. RULES. The commissioner shall adopt rules to implement the provisions of this section by January 31, 2006. Before adopting the rules, the commissioner shall create and receive advice from an advisory committee comprised as follows: (1) one person representing managers of group practices for physicians; (2) two persons representing physicians; (3) two persons representing hospitals; (4) one person representing pharmacists; (5) one person representing dentists; and (6) two persons representing health care insurers. Members of the advisory committee serve without compensation and such committee is not subject to Chapter 551, Government Code. SECTION 2. The provisions of this act shall apply shall to any contract between a health care insurer and a physician or health care provider that is signed or any contract that renews on or after January 31, 2006. "Any contract that renews" includes, but is not limited to, a contract that renews from one term to the next in the absence of contrary notice by one of the parties. SECTION 3. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2005.