Amend CSHB 724, Senate committee printing, by inserting the 
following appropriately numbered SECTIONS in the bill and 
renumbering subsequent SECTIONS of the bill accordingly:
	SECTION __.  Section 408.027(d), Labor Code, is amended to 
read as follows:  
	(d)  If an insurance carrier contests the compensability of 
an injury and the injury is determined not to be compensable, the 
carrier may recover the amounts paid for health care services from 
the employee's accident or health benefit plan, or any other person 
who may be obligated for the cost of the health care services.  If an 
accident or health insurance carrier or other person obligated for 
the cost of health care services has paid for health care services 
for an employee for an injury for which a workers' compensation 
insurance carrier denies compensability, and the injury is later 
determined to be compensable, the accident or health insurance 
carrier or other person may recover the amounts paid for such 
services from the workers' compensation insurance carrier.  If an 
accident or health insurance carrier or other person obligated for 
the cost of health care services has paid for health care services 
for an employee for an injury for which the workers' compensation 
insurance carrier or the employer has not disputed compensability, 
the accident or health insurance carrier or other person may 
recover reimbursement from the insurance carrier in the manner 
described by Section 409.009 or 409.0091, as applicable.
	SECTION __.  Subchapter A, Chapter 409, Labor Code, is 
amended by adding Section 409.0091 to read as follows:
	Sec. 409.0091.  REIMBURSEMENT PROCEDURES FOR CERTAIN 
ENTITIES.  (a) In this section, "health care insurer" means an 
insurance carrier and an authorized representative of an insurance 
carrier, as described by Section 402.084(c-1).
	(b)  This section applies only to a request for reimbursement 
by a health care insurer.
	(c)  Health care paid by a health care insurer may be 
reimbursable as a medical benefit.
	(d)  Except as provided by Subsection (e), this section does 
not prohibit or limit a substantive defense by a workers' 
compensation insurance carrier that the health care paid for by the 
health care insurer was not a medical benefit or not a correct 
payment.  A subclaimant may not be reimbursed for payment for any 
health care that was previously denied by a workers' compensation 
insurance carrier under:
		(1)  a preauthorization review of the specific service 
or medical procedure; or
		(2)  a medical necessity review that determined the 
service was not medically necessary for the treatment of a 
compensable injury.
	(e)  It is not a defense to a subclaim by a health care 
insurer that: 
		(1)  the subclaimant has not sought reimbursement from 
a health care provider or the subclaimant's insured;
		(2)  the subclaimant or the health care provider did 
not request preauthorization under Section 413.014 or rules adopted 
under that section; or
		(3)  the health care provider did not bill the workers' 
compensation insurance carrier, as provided by Section 408.027, 
before the 95th day after the date the health care for which the 
subclaimant paid was provided.
	(f)  Subject to the time limits under Subsection (n), the 
health care insurer shall provide, with any reimbursement request, 
the tax identification number of the health care insurer and the 
following to the workers' compensation insurance carrier, in a form 
prescribed by the division:
		(1)  information identifying the workers' compensation 
case, including:
			(A)  the division claim number;                                       
			(B)  the name of the patient or claimant;                             
			(C)  the social security number of the patient or 
claimant; and     
			(D)  the date of the injury; and                                      
		(2)  information describing the health care paid by the 
health care insurer, including:
			(A)  the name of the health care provider;                            
			(B)  the tax identification number of the health 
care provider;     
			(C)  the date of service;                                             
			(D)  the place of service;                                            
			(E)  the ICD-9 code;                                                  
			(F)  the CPT, HCPCS, NDC, or revenue code;                            
			(G)  the amount charged by the health care 
provider; and            
			(H)  the amount paid by the health care insurer.                      
	(g)  The workers' compensation insurance carrier shall 
reduce the amount of the reimbursable subclaim by any payments the 
workers' compensation insurance carrier  previously made to the 
same health care provider for the provision of the same health care 
on the same dates of service.  In making such a reduction in 
reimbursement to the subclaimant, the workers' compensation 
insurance carrier shall provide evidence of the previous payments 
made to the provider.
	(h)  For each medical benefit paid, the workers' 
compensation insurance carrier shall pay to the health care insurer 
the lesser of the amount payable under the applicable fee guideline 
as of the date of service or the actual amount paid by the health 
care insurer.  In the absence of a fee guideline for a specific 
service paid, the amount per service paid by the health care insurer 
shall be considered in determining a fair and reasonable payment 
under rules under this subtitle defining fair and reasonable 
medical reimbursement.  The health care insurer may not recover 
interest as a part of the subclaim.
	(i)  On receipt of a request for reimbursement under this 
section, the workers' compensation insurance carrier shall respond 
to the request in writing not later than the 90th day after the date 
on which the request is received.  If additional information is 
requested under Subsection (j), the workers' compensation 
insurance carrier shall respond not later than the 120th day unless 
the time is extended under Subsection (j).
	(j)  If the workers' compensation insurance carrier requires 
additional information from the health care insurer, the workers' 
compensation insurance carrier shall send notice to the health care 
insurer requesting the additional information. The health care 
insurer shall have 30 days to provide the requested information.  
The workers' compensation insurance carrier and the health care 
insurer may establish additional periods for compliance with this 
subsection by written mutual agreement.
	(k)  Unless the parties have agreed to an extension of time 
under Subsection (j), the health care insurer must file a written 
subclaim under this section not later than the 120th day after:
		(1)  the workers' compensation insurance carrier fails 
to respond to a request for reimbursement; or
		(2)  receipt of the workers' compensation insurance 
carrier's notice of denial to pay or reduction in reimbursement.
	(l)  Any dispute that arises from a failure to respond to or a 
reduction or denial of a request for reimbursement of services that 
form the basis of the subclaim must go through the appropriate 
dispute resolution process under this subtitle and division rules.  
The commissioner of insurance and the commissioner of workers' 
compensation shall modify rules under this subtitle as necessary to 
allow the health care insurer access as a subclaimant to the 
appropriate dispute resolution process.  Rules adopted or amended 
by the commissioner of insurance and the commissioner of workers' 
compensation must recognize the status of a subclaimant as a party 
to the dispute.  Rules modified or adopted under this section should 
ensure that the workers' compensation insurance carrier is not 
penalized, including not being held responsible for costs of 
obtaining the additional information, if the workers' compensation 
insurance carrier denies payment in order to move to dispute 
resolution to obtain additional information to process the request.
	(m)  In a dispute filed under Chapter 410 that arises from a 
subclaim under this section, a hearing officer may issue an order 
regarding compensability or eligibility for benefits and order the 
workers' compensation insurance carrier to reimburse health care 
services paid by the health care insurer as appropriate under this 
subtitle.  Any dispute over the amount of medical benefits owed 
under this section, including medical necessity issues, shall be 
determined by medical dispute resolution under Sections 413.031 and 
413.032.
	(n)  Except as provided by Subsection (s), a health care 
insurer must file a request for reimbursement with the workers' 
compensation insurance carrier not later than six months after the 
date on which the health care insurer received information under 
Section 402.084(c-3) and not later than 18 months after the health 
care insurer paid for the health care service.
	(o)  The commissioner and the commissioner of insurance 
shall amend or adopt rules to specify the process by which an 
employee who has paid for health care services described by Section 
408.027(d) may seek reimbursement.
	(p)  Until September 1, 2011, a workers' compensation 
insurance carrier is exempt from any department and division data 
reporting requirements affected by a lack of information caused by 
reimbursement requests or subclaims under this section.  If data 
reporting is required after that date, the requirement is 
prospective only and may not require any data to be reported between 
September 1, 2007, and the date required reporting is reinstated.  
The department and the division may make legislative 
recommendations to the 82nd Legislature for the collection of 
reimbursement request and subclaim data.
	(q)  An action or failure to act by a workers' compensation 
insurance carrier under this section may not serve as the basis for 
an examination or administrative action by the department or the 
division, or for any cause of action by any person, except for 
judicial review under this subtitle.
	(r)  The commissioner of insurance and the commissioner of 
workers' compensation may adopt additional rules to clarify the 
processes required by, fulfill the purpose of, or assist the 
parties in the proper adjudication of subclaims under this section.
	(s)  On or after September 1, 2007, from information provided 
to a health care insurer before January 1, 2007, under Section 
402.084(c-3), the health care insurer may file not later than March 
1, 2008:
		(1)  a subclaim with the division under Subsection (l) 
if a request for reimbursement has been presented and denied by a 
workers' compensation insurance carrier; or
		(2)  a request for reimbursement under Subsection (f) 
if a request for reimbursement has not previously been presented 
and denied by the workers' compensation insurance carrier.
	SECTION __.  The change in law made by this Act applies only 
to a subclaim based on a compensable injury that occurred on or 
after September 1, 2007, and to reimbursement requests and 
subclaims pursuant to Section 409.0091(s), Labor Code, as added by 
this Act.  The changes made by this Act apply only to subclaims 
based on an injury that has not been denied for compensability or 
that has been determined by the division to be compensable.
	SECTION __.  The commissioner of workers' compensation shall 
prescribe any forms required under Section 409.0091, Labor Code, as 
added by this Act, not later than September 1, 2007.
	SECTION __.  The commissioner of workers' compensation and 
the commissioner of insurance shall adopt rules as required by this 
Act not later than December 1, 2007.