By: Hancock S.B. No. 1940
 
  (Oliverson)
 
   
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the administration of a temporary health insurance risk
  pool.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 1510.002, Insurance Code, is amended to
  read as follows:
         Sec. 1510.002.  ESTABLISHMENT OF TEMPORARY HEALTH INSURANCE
  RISK POOL.  To the extent that federal funds are [become] available
  under federal law[, regulation, or executive action after March 1,
  2017], the commissioner may:
               (1)  apply for such funds; and
               (2)  use such funds to establish and administer a
  temporary health insurance risk pool for the purposes of this
  chapter.
         SECTION 2.  Section 1510.003, Insurance Code, is amended by
  amending Subsection (a) and adding Subsection (c) to read as
  follows:
         (a)  The exclusive purpose of the pool is to provide a
  temporary mechanism [for maximizing available federal funding] to
  assist residents of this state in obtaining access to quality,
  guaranteed issue health coverage [care] at minimum cost to the
  public.
         (c)  The pool may not be used in a manner that requires this
  state to assume functions currently performed by the United States
  Department of Health and Human Services or the United States
  Internal Revenue Service under the Patient Protection and
  Affordable Care Act (Pub. L. No. 111-148), including establishing
  an exchange or administering premium tax credits.
         SECTION 3.  Section 1510.004, Insurance Code, is amended to
  read as follows:
         Sec. 1510.004.  PROVISION OF GUARANTEED ISSUE HEALTH
  COVERAGE. (a)  Subject to any requirements for obtaining federal
  funds [held in the pool], the commissioner may increase access to
  guaranteed issue health coverage by [use pool funds]:
               (1)  establishing a high risk pool to provide
  alternative individual health insurance coverage to eligible
  individuals that does not diminish enrollment in [the availability
  of] traditional commercial health care coverage;
               (2)  providing [to provide] funding to individual
  health benefit plan issuers that cover individuals with certain
  health or cost characteristics in exchange for lower enrollee
  premium rates; or
               (3)  providing [to provide] a reinsurance program for
  health benefit plan issuers in the individual market in exchange
  for lower enrollee premium rates.
         (b)  If necessary to ensure access to quality individual
  health insurance coverage for individuals with preexisting
  conditions, the commissioner may take actions necessary to
  establish a temporary high risk pool substantially similar to the
  risk pool authorized by former Chapter 1506, Insurance Code,
  repealed by Chapter 615 (S.B. 1367), Acts of the 83rd Legislature,
  Regular Session, 2013, including:
               (1)  appointing a board of directors to govern the
  temporary high risk pool;
               (2)  adopting rules or a plan of operation for the
  temporary high risk pool; and
               (3)  contracting with a third party.
         (c)  Any rule or plan of operation adopted under Subsection
  (b) remains in effect only until 30 days following the end of the
  next regular session of the legislature unless a law is enacted that
  authorizes coverage to be issued by the temporary risk pool and
  provides for funding for coverage under the temporary risk pool.
         SECTION 4.  Section 1510.008(a), Insurance Code, is amended
  to read as follows:
         (a)  The commissioner may apply to the United States
  secretary of health and human services:
               (1)  under 42 U.S.C. Section 18052 for a waiver of
  applicable provisions of the Patient Protection and Affordable Care
  Act (Pub. L. No. 111-148) and any applicable regulations or
  guidance; or
               (2)  under any applicable provision of federal law
  [enacted on or after May 1, 2017,] for a waiver of applicable
  provisions of any federal law, regulations, or guidance with
  respect to health insurance coverage consistent with Section
  1510.003.
         SECTION 5.  Section 1510.012(a), Insurance Code, is amended
  to read as follows:
         (a)  Beginning June 1, 2020 [2018], not later than June 1 of
  each year, the department shall submit a report to the governor, the
  lieutenant governor, and the speaker of the house of
  representatives.
         SECTION 6.  Section 1510.013, Insurance Code, is amended to
  read as follows:
         Sec. 1510.013.  EXPIRATION OF CHAPTER. This chapter expires
  August 31, 2021 [2019].
         SECTION 7.  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, 2019.