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	Amend CSHB 1613 (House Committee Printing) by adding the 
following appropriately numbered SECTION to the bill and 
renumbering subsequent SECTIONS accordingly:
	SECTION ____.  (a) Section 843.338, Insurance Code, is 
amended to read as follows:
	Sec. 843.338.  DEADLINE FOR ACTION ON CLEAN CLAIMS.  Except 
as provided by Sections [Section] 843.3385 and 843.339, not later 
than the 45th day after the date on which a health maintenance 
organization receives a clean claim from a participating physician 
or provider in a nonelectronic format or the 30th day after the date 
the health maintenance organization receives a clean claim from a 
participating physician or provider that is electronically 
submitted, the health maintenance organization shall make a 
determination of whether the claim is payable and:
		(1)  if the health maintenance organization determines 
the entire claim is payable, pay the total amount of the claim in 
accordance with the contract between the physician or provider and 
the health maintenance organization;
		(2)  if the health maintenance organization determines 
a portion of the claim is payable, pay the portion of the claim that 
is not in dispute and notify the physician or provider in writing 
why the remaining portion of the claim will not be paid; or
		(3)  if the health maintenance organization determines 
that the claim is not payable, notify the physician or provider in 
writing why the claim will not be paid.
	(b)  Section 843.339, Insurance Code, is amended to read as 
follows:         
	Sec. 843.339.  DEADLINE FOR ACTION ON [CERTAIN] PRESCRIPTION 
CLAIMS; PAYMENT.  (a)  Not later than the 21st day after the date a 
health maintenance organization affirmatively adjudicates a 
pharmacy claim that is electronically submitted, the health 
maintenance organization shall pay the total amount of the claim.  A 
health maintenance organization shall pay a pharmacy claim that is 
submitted in a nonelectronic format not later than the deadline 
provided under Section 843.338.
	(b)  Except as provided by Subsection (c), a pharmacy benefit 
manager that administers a pharmacy claim for a health maintenance 
organization shall pay the provider through electronic funds 
transfer not later than the 14th day after the date on which the 
claim is determined under this subchapter to be affirmatively 
adjudicated.
	(c)  If the provider is unable to receive payment of a claim 
described by Subsection (b) through electronic funds transfer, the 
pharmacy benefit manager shall pay the claim not later than the 21st 
day after the date on which the claim is determined under this 
subchapter to be affirmatively adjudicated.
	(c)  Section 843.340, Insurance Code, is amended by adding 
Subsection (f) to read as follows:
	(f)  A pharmacy benefit manager who performs an on-site audit 
under this chapter of a provider who is a pharmacist or pharmacy 
shall provide the provider written notice of the audit and it must 
be sent by certified mail not later than the 15th day before the 
date on which the audit is scheduled to occur.
	(d)  Section 1301.001(1), Insurance Code, is amended to read 
as follows:     
		(1)  "Health care provider" means a practitioner, 
institutional provider, or other person or organization that 
furnishes health care services and that is licensed or otherwise 
authorized to practice in this state.  The term includes a 
pharmacist and a pharmacy.  The term does not include a physician.
	(e)  Section 1301.103, Insurance Code, is amended to read as 
follows:        
	Sec. 1301.103.  DEADLINE FOR ACTION ON CLEAN CLAIMS.  Except 
as provided by Sections 1301.104 and [Section] 1301.1054, not later 
than the 45th day after the date an insurer receives a clean claim 
from a preferred provider in a nonelectronic format or the 30th day 
after the date an insurer receives a clean claim from a preferred 
provider that is electronically submitted, the insurer shall make a 
determination of whether the claim is payable and:
		(1)  if the insurer determines the entire claim is 
payable, pay the total amount of the claim in accordance with the 
contract between the preferred provider and the insurer;
		(2)  if the insurer determines a portion of the claim is 
payable, pay the portion of the claim that is not in dispute and 
notify the preferred provider in writing why the remaining portion 
of the claim will not be paid; or
		(3)  if the insurer determines that the claim is not 
payable, notify the preferred provider in writing why the claim 
will not be paid.
	(f)  Section 1301.104, Insurance Code, is amended to read as 
follows:        
	Sec. 1301.104.  DEADLINE FOR ACTION ON [CERTAIN] PHARMACY 
CLAIMS; PAYMENT.  (a)  Not later than the 21st day after the date an 
insurer affirmatively adjudicates a pharmacy claim that is 
electronically submitted, the insurer shall pay the total amount of 
the claim.  An insurer shall pay a pharmacy claim that is submitted 
in a nonelectronic format not later than the deadline provided 
under Section 1301.103.
	(b)  Except as provided by Subsection (c), a pharmacy benefit 
manager that administers a pharmacy claim for an insurer under a 
preferred provider benefit plan shall pay the provider through 
electronic funds transfer not later than the 14th day after the date 
on which the claim is determined under this subchapter to be 
affirmatively adjudicated.
	(c)  If the provider is unable to receive payment of a claim 
described by Subsection (b) through electronic funds transfer, the 
pharmacy benefit manager shall pay the claim not later than the 21st 
day after the date on which the claim is determined under this 
subchapter to be affirmatively adjudicated.
	(g)  Section 1301.105, Insurance Code, is amended by adding 
Subsection (e) to read as follows:
	(e)  A pharmacy benefit manager who performs an on-site audit 
under this chapter of a provider who is a pharmacist or pharmacy 
shall provide the provider reasonable written notice of the audit 
and it must be sent by certified mail not later than the 15th day 
before the date on which the audit is scheduled to occur.
	(h)  The change in law made by this section applies only to a 
claim submitted by a provider to a health maintenance organization 
or an insurer on or after the effective date of this Act.  A claim 
submitted before the effective date of this Act is governed by the 
law as it existed immediately before that date, and that law is 
continued in effect for that purpose.