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No significant fiscal implication to the State is anticipated.
No fiscal implication to units of local government is anticipated.
The bill would add Chapter 1372 to the Insurance Code. Chapter 1372 would apply only to certain health benefit plans provided by certain employers, programs, and plans.
The bill would prohibit a health benefit plan from denying coverage for a treatment based solely on the fact an enrollee is terminally ill. The bill would also prohibit a health benefit plan issuer or third-party administrator from refusing to accept a physician's recommendation of treatment based solely on the enrollee's diagnosis with a terminal illness or reducing, prohibiting, or denying payment or other forms of reimbursement for the treatment based solely on that diagnosis.
The bill would classify a violation of Chapter 1372 as an unfair or deceptive act or practice in the business of insurance and as an unfair claim settlement practice. A health benefit plan issuer or third-party administrator that commits a violation of the new chapter would be subject to administrative penalties.
The legislation is designed to protect patients from being denied coverage solely because they are terminally ill. This would preserve patients' health benefit plan choices in order to receive the medical treatment they wish to pursue. This would promote our individual liberty principle. While we do not typically support the government interfering in health insurance, this is a reform consistent with laws already in place. We therefore support HB 2541.