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  S.B. No. 1143
 
 
 
 
AN ACT
  relating to requirements regarding employer liability for certain
  group health benefit plan premiums and to a health benefits study to
  be conducted by the Texas Department of Insurance.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 843.210, Insurance Code, is amended to
  read as follows:
         Sec. 843.210.  TERMS OF ENROLLEE ELIGIBILITY. (a)  A
  contract between a health maintenance organization and a group
  contract holder must provide that:
               (1)  in addition to any other premiums for which the
  group contract holder is liable, the group contract holder is
  liable for an enrollee's premiums from the time the enrollee is no
  longer part of the group eligible for coverage under the contract
  until the end of the month in which the contract holder notifies the
  health maintenance organization that the enrollee is no longer part
  of the group eligible for coverage by the contract; and
               (2)  the enrollee remains covered by the contract until
  the end of that period.
         (b)  Each health maintenance organization that enters into a
  contract described by Subsection (a) shall notify the group
  contract holder periodically as provided by this section that the
  contract holder is liable for premiums on an enrollee who is no
  longer part of the group eligible for coverage under the contract
  until the health maintenance organization receives notification of
  termination of the enrollee's eligibility for that coverage.
         (c)  If the health maintenance organization charges the
  group contract holder on a monthly basis for the coverage premiums,
  the health maintenance organization shall include the notice
  required by Subsection (b) in each monthly statement sent to the
  group contract holder. If the health maintenance organization
  charges the group contract holder on other than a monthly basis for
  the premiums, the health maintenance organization shall notify the
  group contract holder periodically in the manner prescribed by the
  commissioner by rule.
         (d)  The notice required by Subsection (b) must include a
  description of methods preferred by the health maintenance
  organization for notification by a group contract holder of an
  enrollee's termination from coverage eligibility.
         SECTION 2.  Section 1301.0061, Insurance Code, is amended to
  read as follows:
         Sec. 1301.0061.  TERMS OF ENROLLEE ELIGIBILITY. (a)  A
  contract between an insurer and a group policyholder under a
  preferred provider benefit plan must provide that:
               (1)  in addition to any other premiums for which the
  group policyholder is liable, the group policyholder is liable for
  an individual insured's premiums from the time the individual is no
  longer part of the group eligible for coverage under the policy
  until the end of the month in which the policyholder notifies the
  insurer that the individual is no longer part of the group eligible
  for coverage under the policy; and
               (2)  the individual remains covered under the policy
  until the end of that period.
         (b)  Each insurer that enters into a contract described by
  Subsection (a) shall notify the group policyholder periodically as
  provided by this section that the policyholder is liable for
  premiums on an individual who is no longer part of the group
  eligible for coverage until the insurer receives notification of
  termination of the individual's eligibility for coverage.
         (c)  If the insurer charges the group policyholder on a
  monthly basis for the premiums, the insurer shall include the
  notice required by Subsection (b) in each monthly statement sent to
  the group policyholder. If the insurer charges the group
  policyholder on other than a monthly basis for the premiums, the
  insurer shall notify the group policyholder periodically in the
  manner prescribed by the commissioner by rule.
         (d)  The notice required by Subsection (b) must include a
  description of methods preferred by the insurer for notification by
  a group policyholder of an individual's termination from coverage
  eligibility.
         SECTION 3.. Subchapter B, Chapter 32, Insurance Code, is
  amended by adding Section 32.0221, to read as follows:
         Sec. 32.0221. TEXAS HEALTH BENEFITS STUDY. (a)  The
  department shall study the disparity in patient copayments between
  orally and intravenously administered chemotherapies, the reasons
  for the disparity, and the patient benefits in establishing
  copayment parity between oral and infused chemotherapy agents.
         (b)  Not later than August 1, 2010, the department shall
  submit to the governor, the lieutenant governor, the speaker of the
  house of representatives, and the appropriate standing committees
  of the legislature a report regarding the results of the study
  conducted under Subsection (a), together with any recommendation
  for legislation.
         SECTION 4.  The change in law made by Section 1 and 2 of this
  Act applies only to a contract between an insurer or health
  maintenance organization and a group policy or contract holder that
  is entered into or renewed on or after January 1, 2010. A contract
  entered into or renewed before January 1, 2010, 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 5.  This Act takes effect September 1, 2009.
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 1143 passed the Senate on
  April 2, 2009, by the following vote: Yeas 31, Nays 0; and that the
  Senate concurred in House amendment on May 30, 2009, by the
  following vote: Yeas 31, Nays 0.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 1143 passed the House, with
  amendment, on May 26, 2009, by the following vote: Yeas 111,
  Nays 31, two present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor