HBA-TYH H.B. 859 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 859
By: Dukes
Insurance
3/2/1999
Introduced



BACKGROUND AND PURPOSE 

Currently, health insurance plans may cut services critical to women's
health such as diagnostic screenings and preventive maintenance checkups
because they are relatively expensive for insurers to cover.  H.B. 859
requires an insurance company to maintain the same deductible and copayment
for treatment of any type of cancer, which prevents the companies from
imposing higher fees for breast cancer treatments than are imposed on
treatments for other types of cancer.  It also prohibits a plan from
imposing a deductible, coinsurance, or copayment on certain screenings and
treatments vital to women's health, such as mammographies and cervical
cytology. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Article 21.53C, Insurance Code, as follows:

Sec. 1.  New Title: DEFINITION.  Amends the definition of "qualified
individual" to include an individual who is estrogen deficient and at
clinical risk for osteoporosis and an  individual with a specific sign
suggestive of spinal osteoporosis.  Deletes the definition of "group health
insurance policy."  Makes conforming changes. 

Sec. 2.  SCOPE OF ARTICLE.  (a)  Provides that this article applies only to
a health benefit plan that: 

(1)  provides benefits for medical or surgical expenses incurred as a
result of a health condition, accident, or sickness, including: 

(A)  an individual, group, blanket, or franchise insurance policy or
insurance agreement, a group hospital service contract, or an individual or
group that is offered coverage by the enumerated entities; or 

(B) a health benefit plan that is offered by a multiple employer welfare
arrangement as defined by Section 3, Employee Retirement Income Security
Act of 1974 (29 U.S.C. Section 1002) (Definitions), or another analogous
benefit arrangement to the extent permitted by the Employee Retirement
Income Security Act of 1974 (29 U.S.C. Section 1001 et seq. )
(Congressional Findings and Declaration of Policy); or 

(2)  is offered by an approved nonprofit health corporation that is
certified under Section 5.01(a), Medical Practice Act (Article 4495b,
V.T.C.S.)(Medial Practice Act), and that holds a certificate of authority
issued by the Commissioner of Insurance (commissioner) under Article 21.52F
of this code (Certification of Certain Nonprofit Health Corporations).  

(b)  Provides that this article does not apply to:
 
(1)  a plan that provides coverage only for a specified disease or other
limited benefit, only for accidental death or dismemberment, for wages or
payments in lieu of wages for a period during which an employee is absent
from work because of sickness or injury, as a supplement to liability
insurance, or only for indemnity for hospital confinement or other hospital
expenses; 
  
(2)  a small employer health benefit plan written under Chapter 26 of this
code (Health Insurance Availability); 
  
(3)  a Medicare supplemental policy as defined by Section 1882(g)(1),
Social Security Act (42 U.S.C. Section 1395ss) (Certification of Medicare
Supplemental Health Insurance Policies); 
  
(4)  workers' compensation insurance coverage;
  
(5)  medical payment insurance issued as part of a motor vehicle insurance
policy; or 
  
(6)  a long-term care policy, including a nursing home fixed indemnity
policy, unless the commissioner determines that the policy provides benefit
coverage so comprehensive that the policy is a health benefit plan as
described by Subsection (a) of this section.  

Sec. 3.  New title: COVERAGE REQUIRED.   Requires a group health insurance
policy to provide, on the prescription of a health care provider, coverage
for a qualified individual covered by the policy for medically accepted
bone mass measurement and hormone replacement or other drug therapies.
Makes conforming changes. 

SECTION 2.  Amends Section 2(b), Article 21.53D, Insurance Code, as added
by Chapter 84, Acts of the 75th Legislature, Regular Session, 1997, to
include a plan that provides coverage for one type of cancer only, as
identified by Texas Department of Insurance (department) rule, except for a
plan covering breast cancer only, in a list of plans to which this article
is not applicable.  Makes conforming changes. 

SECTION 3.  Amends Section 3, Article 21.53D, Insurance Code, as added by
Chapter 84, Acts of the 75th Legislature, Regular Session, 1997, by adding
Subsection (a) and creating Subsections (b) and (c) from existing text, as
follows: 

Sec. 3.  COVERAGE REQUIRED.   Provides that a health benefit plan that
provides coverage for any of the group of related diseases commonly known
as cancer must provide coverage for treatment for breast cancer, including
coverage for mastectomy and breast reconstruction. Authorizes the coverage
required under Subsection (a) of this section to be subject to the same
deductible or copayment applicable to coverage for any other type of cancer
treatment. 

SECTION 4.  Amends Article 21.53D, Insurance Code, as added by Chapter 912,
Acts of the 75th Legislature, Regular Session, 1997, to redesignate it as
Article 21.53H, as follows: 

Art.  21.53H.  New title: CARE INVOLVING CERTAIN WOMEN'S HEALTH ISSUES.

Sec. 2.  SCOPE OF ARTICLE.  Provides that Sections 3 and 4 of this article
do not apply to any health benefit plan that does not provide
pregnancy-related benefits, or any health benefit plan that does not
provide well-woman care benefits.  Redesignates Subsection (d) to (e).
Makes conforming changes. 

Sec. 5.  TREATMENT OF HORMONE DEFICIENCY.  Requires a health benefit plan,
on the prescription of a health care provider, to provide to a woman who is
entitled to coverage under the plan coverage for hormone replacement
therapy for the treatment of menopausal symptoms other than osteoporosis.  
 
Sec. 6.  CERVICAL CYTOLOGY.  Prohibits a health benefit plan from imposing
a deductible, coinsurance, or a copayment specifically for a cervical
cytology procedure.  

Sec. 7.  ANNUAL MAMMOGRAPHY FOR CERTAIN ENROLLEES.  Requires a health
benefit plan to provide coverage for an annual mammogram for a woman who is
entitled to coverage under the plan and who is at least 40 years of age.
Prohibits a  health benefit plan from imposing a deductible, coinsurance,
or a copayment for services under this section.  

Sec. 8.  NOTICE.  Redesignates Section 5 to 8.  Makes a conforming change.

Sec. 9.  RULES.  Redesignates Section 6 to 9.  

Sec. 10.  ADMINISTRATIVE PENALTY.  Redesignates Section 7 to 10.

SECTION 5. Effective date: September 1, 1999.
  Makes application of this Act prospective.

SECTION 6.  Emergency clause.