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A BILL TO BE ENTITLED
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AN ACT
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relating to the applicability of certain prompt payment |
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requirements to health and accident coverage provided by certain |
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risk pools. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 542.052, Insurance Code, is amended to |
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read as follows: |
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Sec. 542.052. APPLICABILITY OF SUBCHAPTER. (a) This |
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subchapter applies to any insurer authorized to engage in business |
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as an insurance company or to provide insurance in this state, |
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including: |
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(1) a stock life, health, or accident insurance |
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company; |
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(2) a mutual life, health, or accident insurance |
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company; |
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(3) a stock fire or casualty insurance company; |
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(4) a mutual fire or casualty insurance company; |
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(5) a Mexican casualty insurance company; |
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(6) a Lloyd's plan; |
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(7) a reciprocal or interinsurance exchange; |
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(8) a fraternal benefit society; |
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(9) a stipulated premium company; |
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(10) a nonprofit legal services corporation; |
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(11) a statewide mutual assessment company; |
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(12) a local mutual aid association; |
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(13) a local mutual burial association; |
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(14) an association exempt under Section 887.102; |
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(15) a nonprofit hospital, medical, or dental service |
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corporation, including a corporation subject to Chapter 842; |
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(16) a county mutual insurance company; |
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(17) a farm mutual insurance company; |
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(18) a risk retention group; |
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(19) a purchasing group; |
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(20) an eligible surplus lines insurer; and |
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(21) except as provided by Section 542.053(b), a |
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guaranty association operating under Chapter 462 or 463. |
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(b) Notwithstanding any other law, this subchapter applies |
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to a claim under health and accident coverage provided by a risk |
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pool created under Chapter 172, Local Government Code, and the risk |
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pool shall be treated as an insurer for purposes of this subchapter. |
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SECTION 2. The change in law made by this Act applies only |
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to a claim filed on or after the effective date of this Act. |
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SECTION 3. This Act takes effect September 1, 2019. |