Bill Text: TX SB1940 | 2019-2020 | 86th Legislature | Comm Sub
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the administration of a temporary health insurance risk pool.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2019-06-10 - Effective immediately [SB1940 Detail]
Download: Texas-2019-SB1940-Comm_Sub.html
Bill Title: Relating to the administration of a temporary health insurance risk pool.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2019-06-10 - Effective immediately [SB1940 Detail]
Download: Texas-2019-SB1940-Comm_Sub.html
By: Hancock | S.B. No. 1940 | |
(In the Senate - Filed March 7, 2019; March 19, 2019, read | ||
first time and referred to Committee on Business & Commerce; | ||
April 11, 2019, reported adversely, with favorable Committee | ||
Substitute by the following vote: Yeas 9, Nays 0; April 11, 2019, | ||
sent to printer.) | ||
COMMITTEE SUBSTITUTE FOR S.B. No. 1940 | By: Hancock |
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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 [ |
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under federal law[ |
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(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 [ |
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assist residents of this state in obtaining access to quality, | ||
guaranteed issue health coverage [ |
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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 [ |
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guaranteed issue health coverage by [ |
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(1) establishing a high risk pool to provide | ||
alternative individual health insurance coverage to eligible | ||
individuals that does not diminish enrollment in [ |
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(2) providing [ |
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health benefit plan issuers that cover individuals with certain | ||
health or cost characteristics in exchange for lower enrollee | ||
premium rates; or | ||
(3) providing [ |
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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 | ||
[ |
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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 [ |
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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 [ |
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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. | ||
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