| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to unfair claim settlement practices by an insurer that |
|
|
issues a preferred provider benefit plan. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 541.060, Insurance Code, is amended by |
|
|
adding Subsection (c) to read as follows: |
|
|
(c) It is an unfair method of competition or an unfair or |
|
|
deceptive act or practice in the business of insurance for an |
|
|
insurer that issues a preferred provider benefit plan under Chapter |
|
|
1301 to compute the insured's coinsurance for out-of-network |
|
|
services otherwise available under the plan on an amount other than |
|
|
the nonpreferred provider's billed charge. |
|
|
SECTION 2. The change in law made by this Act applies only |
|
|
to computation of coinsurance under a preferred provider benefit |
|
|
plan delivered, issued for delivery, or renewed on or after the |
|
|
effective date of this Act. Computation of coinsurance under a |
|
|
preferred provider benefit plan delivered, issued for delivery, or |
|
|
renewed before the effective date of this Act is governed by the law |
|
|
in effect immediately before the effective date of this Act, and |
|
|
that law is continued in effect for that purpose. |
|
|
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, 2009. |