HBA-TBM H.B. 1491 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 1491
By: Farabee
Insurance
2/19/2001
Introduced



BACKGROUND AND PURPOSE 

Currently, many private insurance policies do not provide coverage for a
child's mental illness that is comparable to the coverage provided for a
physical illness.  This can result in a mental illness in a child not being
treated or discovered until the mental illness causes a physical ailment.
Because of the limitations placed on mental health care reimbursements by
insurers and a family's inability to pay the high cost of intensive private
care, some children are forced into the public health care system.  House
Bill 1491 requires private health benefit plans to provide the same level
of health care coverage for the mental health of a child that it provides
for a child's physical health.   

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that rulemaking
authority is expressly delegated to the commissioner of insurance in
SECTION 1 (Section 6, Article 21.53R, Insurance Code) of this bill.  

ANALYSIS

House Bill 1491 amends the Insurance Code to require a health benefit plan
that provides benefits for medical or surgical expenses incurred as a
result of a health condition, accident, or sickness (plan) to provide
coverage for certain mental disorders in children.  The plan must provide
coverage for an enrollee who is younger than 19 years of age for the
diagnosis and treatment of a mental disorder under the same terms and
conditions as coverage for diagnosis and treatment of physical illness.
The bill authorizes the coverage to be provided or offered through a
managed health care plan.  The bill prohibits the coverage from being
subject to an annual or lifetime limit on the number of days of inpatient
treatment or the number of outpatient visits covered under the plan.  The
coverage provided must be subject to the same amount limits, deductibles,
copayments, and coinsurance factors as coverage for physical illness.  The
bill requires the commissioner of insurance to adopt rules as necessary to
implement these provisions.   

EFFECTIVE DATE

September 1, 2001.  The Act applies only to a health benefit plan
delivered, issued for delivery, or renewed on or after January 1, 2002.