Bill Text: TX SB1614 | 2017-2018 | 85th Legislature | Introduced
Bill Title: Relating to a misleading representation or misrepresentation in an explanation of benefits provided by a health benefit plan issuer or administrator.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2017-03-21 - Referred to Business & Commerce [SB1614 Detail]
Download: Texas-2017-SB1614-Introduced.html
85R9910 SCL-D | ||
By: Campbell | S.B. No. 1614 |
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relating to a misleading representation or misrepresentation in an | ||
explanation of benefits provided by a health benefit plan issuer or | ||
administrator. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 541.051, Insurance Code, is amended to | ||
read as follows: | ||
Sec. 541.051. MISREPRESENTATION REGARDING POLICY OR | ||
INSURER. It is an unfair method of competition or an unfair or | ||
deceptive act or practice in the business of insurance to: | ||
(1) make, issue, or circulate or cause to be made, | ||
issued, or circulated an estimate, illustration, circular, or | ||
statement misrepresenting with respect to a policy issued or to be | ||
issued: | ||
(A) the terms of the policy; | ||
(B) the benefits or advantages promised by the | ||
policy; or | ||
(C) the dividends or share of surplus to be | ||
received on the policy; | ||
(2) make a false or misleading statement regarding the | ||
dividends or share of surplus previously paid on a similar policy; | ||
(3) make a misleading representation or | ||
misrepresentation regarding: | ||
(A) the financial condition of an insurer; or | ||
(B) the legal reserve system on which a life | ||
insurer operates; | ||
(4) use a name or title of a policy or class of | ||
policies that misrepresents the true nature of the policy or class | ||
of policies; [ |
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(5) make a misrepresentation to a policyholder insured | ||
by any insurer for the purpose of inducing or that tends to induce | ||
the policyholder to allow an existing policy to lapse or to forfeit | ||
or surrender the policy; or | ||
(6) make a misleading representation or | ||
misrepresentation in an explanation of benefits provided by a | ||
health insurer or other health benefit plan issuer or a third-party | ||
administrator of a health benefit plan to an individual covered | ||
under the plan. | ||
SECTION 2. This Act takes effect immediately if it receives | ||
a vote of two-thirds of all the members elected to each house, as | ||
provided by Section 39, Article III, Texas Constitution. If this | ||
Act does not receive the vote necessary for immediate effect, this | ||
Act takes effect September 1, 2017. |