HBA-NRS H.B. 2498 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 2498
By: Haggerty
Insurance
3/15/2001
Introduced



BACKGROUND AND PURPOSE 

Millions of people living or working near the Texas-Mexico border are
uninsured. One complicating factor is that border residents sometimes
receive medical treatment in both the United States and Mexico. House Bill
2498 creates a cross-border health insurance arrangement which allows
Texas-based employers to offer health insurance coverage for services in
Mexico to Mexican nationals and United States citizens working within 62
miles of the Texas-Mexico border. 

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. 

ANALYSIS

House Bill 2498 amends the Insurance Code to authorize a health maintenance
organization (HMO) to offer to individuals who work or reside in this state
within 62 miles of the Texas-Mexico border a health care plan through an
HMO delivery network based exclusively on physicians, providers, or other
HMOs located in the United Mexican States (Mexican HMO network). The bill
authorizes such a health care plan to limit its service area to a
geographic region within Mexico and to limit the coverage of out-of-area
health care services delivered in this state to emergency care services.
The bill provides that the delivery of health care services through a
Mexican HMO network is governed by the applicable laws and standards,
including licensing requirements and care standards, of Mexico. The bill
authorizes such a health care plan to be made available to eligible
employees of a small or large employer only when chosen by the employer as
an option among two or more health benefit plans, at least one of which
provides coverage for health care services delivered in Texas. A health
care plan offered by an HMO through the provisions of this bill must
satisfy provisions relating to evidence of coverage and charges.  

EFFECTIVE DATE

September 1, 2001.