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BILL ANALYSIS |
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By: Dukes |
BACKGROUND AND PURPOSE
The Children's Health Insurance Program (CHIP) is a federal program that provides health
insurance to children whose families do not qualify for Medicaid, yet need assistance to buy
health insurance for their children. State and higher education employees, who are not eligible
for CHIP, are eligible to apply for a similar program called the State Kids Insurance Program
(SKIP). Both of the programs have similar qualification and requalification standards, and these
programs are based on the income, the size of an individual's household and other factors. However, under SKIP, an individual who leaves the state employment system through either termination or death is not informed about or referred to additional health care programs for which the individual's family may be eligible. Presently, there is no process in place that provides a referral to CHIP or Children's Medicaid when the SKIP coverage for an individual and the individual's family is terminated through the Employee Retirement System of Texas (ERS).
H.B. 582 requires ERS to establish procedures for a state agency to inform families that their
children may be eligible for CHIP or Children's Medicaid when the SKIP coverage is ending as a
result of termination of state employment or death of the employee. The agency that formerly
employed such individual also would provide information to an individual and the individual's
family, who might be eligible for coverage under these programs, regarding the procedures for
applying for benefits.
It is the committee's opinion that this bill does not expressly grant any additional rulemaking
authority to a state officer, department, agency, or institution.
ANALYSIS
H.B. 582 amends the Insurance Code to require the board of trustees of the Employees
Retirement System of Texas to establish procedures by which a parent or guardian of a child no
longer eligible for dependent child coverage, because of an employee's termination of state
employment, is informed through the former employing state agency that the child may be
eligible to receive similar benefits under the children's health insurance program or the Medicaid
program and is provided information by that agency regarding how to apply for benefits under
those programs. The bill requires the board to establish the procedures not later than December
1, 2009.
EFFECTIVE DATE
On passage, or, if the act does not receive the necessary vote, the act takes effect September 1,
2009.