85(R) - 2017
Relating to the creation of the Temporary Texas Health Insurance Risk Pool
From the LBB: an impact of $0 through the biennium ending August 31, 2019.
The bill would make no appropriation but could provide the legal basis for an appropriation of
funds to implement the provisions of the bill.
HB 3226 would amend the Insurance Code to allow the Commissioner of Insurance to use dollars from the Healthy Texas Small Employer Premium Stabilization Fund to apply for federal funds and establish and administer a temporary health insurance risk pool to assist in the care of high risk, expensive patients and reduce premiums for health plan issuers.
Vote Recommendation Notes
This bill violates our free market and limited government principles by authorizing the creation of a new government administered insurance subsidy program. For these reasons, we oppose HB 3226.
In addition, we would like to note that New Mexico is in the process of phasing out a similar program due to its unforeseen financial consequences.
Blue Cross and Blue Shield of Texas
Texas Association of Business
Texas Association of Health Plans