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A BILL TO BE ENTITLED
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AN ACT
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relating to the inclusion of an exclusive dealing or tying clause in |
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a health care provider network contract. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 1458.001, Insurance Code, is amended by |
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adding Subdivisions (3-a) and (9) to read as follows: |
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(3-a) "Exclusive dealing clause" means a provision in |
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a provider network contract that implicitly or explicitly restricts |
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or places conditions on the ability of a general contracting entity |
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to freely contract with another provider for any period. |
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(9) "Tying clause" means a provision in a provider |
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network contract that requires the contract to include one or more |
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specified members of a provider group, including medical practice |
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groups and facilities, in: |
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(A) the general contracting entity's network of |
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participating providers; |
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(B) the same network; or |
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(C) each product offered by the general |
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contracting entity. |
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SECTION 2. Sections 1458.101(g) and (h), Insurance Code, |
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are amended to read as follows: |
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(g) A provider may not: |
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(1) offer to a general contracting entity a written |
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provider network contract that includes an anti-steering, |
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anti-tiering, exclusive dealing, gag, [or] most favored nation, or |
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tying clause; |
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(2) enter into a provider network contract that |
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includes an anti-steering, anti-tiering, exclusive dealing, gag, |
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[or] most favored nation, or tying clause; or |
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(3) amend or renew an existing provider network |
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contract previously entered into with a general contracting entity |
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so that the contract as amended or renewed adds or retains an |
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anti-steering, anti-tiering, exclusive dealing, gag, [or] most |
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favored nation, or tying clause. |
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(h) Any provision in a provider network contract that is an |
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anti-steering, anti-tiering, exclusive dealing, gag, [or] most |
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favored nation, or tying clause is void and unenforceable. The |
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remaining provisions in the provider network contract remain in |
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effect and are enforceable. |
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SECTION 3. The changes in law made by this Act apply only to |
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a contract entered into or renewed on or after the effective date of |
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this Act. A contract entered into or renewed before the effective |
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date of this Act is governed by the law as it existed immediately |
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before the effective date of this Act, and that law is continued in |
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effect for that purpose. |
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SECTION 4. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2025. |