H.B. No. 739
 
 
 
 
AN ACT
  relating to certain continuing education requirements for
  insurance agents who sell Medicare-related products.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Chapter 4004, Insurance Code, is amended by
  adding Subchapter D to read as follows:
  SUBCHAPTER D. ADDITIONAL CONTINUING EDUCATION REQUIREMENTS
  FOR SALE OF MEDICARE-RELATED PRODUCTS
         Sec. 4004.151.  DEFINITIONS. In this subchapter:
               (1)  "Medicare advantage plan" means a health benefit
  plan operated under the Medicare program as a managed care plan,
  special needs plan, or private fee-for-service plan.
               (2)  "Medicare program" means the federal health
  insurance program that is operated under the Health Insurance for
  the Aged Act (42 U.S.C. Section 1395 et seq.).
               (3)  "Medicare-related product" means a Medicare
  advantage plan, a Medicare prescription drug plan, or another
  health plan operated under the Medicare program, such as a Medicare
  cost plan or a Medicare demonstration plan. The term does not
  include a Medicare supplement benefit plan regulated under Chapter
  1652.
         Sec. 4004.152.  AGENT EDUCATION REQUIREMENTS. (a)  Unless
  an agent has completed eight hours of professional training related
  to a Medicare-related product, an agent may not:
               (1)  sell, solicit, negotiate, or receive an
  application or contract for the Medicare-related product in this
  state; or
               (2)  represent an insurer in relation to the
  Medicare-related product in this state.
         (b)  The training required under Subsection (a) may be used
  to satisfy the continuing education requirements established under
  Subchapter B.
         Sec. 4004.153.  REQUIRED CONTINUING EDUCATION REGARDING
  MEDICARE PRODUCTS. (a) This section applies to an agent who:
               (1)  solicits, negotiates, procures, or collects a
  premium on a Medicare-related product; or
               (2)  represents or purports to represent an insurer, a
  health maintenance organization, or a preferred provider
  organization in relation to such a Medicare-related product.
         (b)  Each agent described by Subsection (a) must complete
  four hours of continuing education that specifically relates to
  Medicare-related products during the agent's two-year licensing
  period.
         (c)  Only training in a program that has been certified by
  the department may be used to satisfy the requirements of
  Subsection (b).
         (d)  The continuing education required under Subsection (b)
  may be used to satisfy the continuing education requirements
  established under Subchapter B.
         Sec. 4004.154.  PROGRAM CERTIFICATION REQUIREMENTS. (a)  
  Subchapter C, including the authorization to contract with an
  independent contractor under Section 4004.104, applies to programs
  used to satisfy the requirements of Sections 4004.152 and 4004.153.
  For the purpose of administering this subchapter, professional
  training courses shall be considered to be continuing education
  courses under Subchapter C.
         (b)  The commissioner by rule shall adopt criteria for the
  programs used to satisfy the requirements of Sections 4004.152 and
  4004.153 that are designed to ensure that an agent has knowledge,
  understanding, and professional competence concerning a
  Medicare-related product. The rules adopted under this subsection
  may incorporate by reference any requirements established by the
  Centers for Medicare and Medicaid Services or any other appropriate
  federal agency.
         Sec. 4004.155.  NONAPPLICATION OF CERTAIN EXEMPTIONS. The
  continuing education exemptions for certain agents established
  under Section 4004.052(b) and Section 9.02(e), Chapter 703 (S.B.
  414), Acts of the 77th Legislature, Regular Session, 2001, do not
  apply to requirements under this subchapter.
         SECTION 2.  The commissioner of insurance shall adopt rules
  as required by Section 4004.154, Insurance Code, as added by this
  Act, not later than December 1, 2009.
         SECTION 3.  Subchapter D, Chapter 4004, Insurance Code, as
  added by this Act, applies to education requirements for insurance
  agents for a license issued or renewed on or after April 1, 2010.
         SECTION 4.  This Act takes effect September 1, 2009.
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
 
         I certify that H.B. No. 739 was passed by the House on May 5,
  2009, by the following vote:  Yeas 140, Nays 4, 1 present, not
  voting.
 
  ______________________________
  Chief Clerk of the House   
 
 
         I certify that H.B. No. 739 was passed by the Senate on May
  21, 2009, by the following vote:  Yeas 31, Nays 0.
 
  ______________________________
  Secretary of the Senate    
  APPROVED:  _____________________
                     Date          
   
            _____________________
                   Governor