Tex. Ins. Code Section 562.105
Contract Requirements


(a)

A program operator shall contract, directly or indirectly, with a provider offering discounted health care services or products under the discount health care program. The written contract must contain all of the following provisions:

(1)

a description of the discounts to be provided to a member;

(2)

a provision prohibiting the provider from charging a member more than the discounted rate agreed to in the written agreement with the provider; and

(3)

a provision requiring the provider to promptly notify the program operator if the provider no longer participates in the program or loses the authority to provide services or products.

(b)

The program operator may not charge or receive from a provider any fee or other compensation for entering into the agreement.

(c)

If the program operator contracts with a network of providers, the program operator shall obtain written assurance from the network that:

(1)

the network has a written agreement with each network provider that includes a discounted rate that is applicable to a program operator’s discount health care program and contains all of the terms described in Subsection (a); and

(2)

the network is authorized to obligate the network providers to provide services to members of the discount health care program.

(d)

The program operator shall require the network to:

(1)

maintain and provide the program operator on a monthly basis an up-to-date list of providers in the network; and

(2)

promptly remove a provider from its network if the provider no longer participates or loses the authority to provide services or products.

(e)

The program operator shall maintain a copy of each written agreement the program operator has with a provider or a network for at least two years following termination of the agreement.
Added by Acts 2009, 81st Leg., R.S., Ch. 1331 (H.B. 4341), Sec. 1, eff. September 1, 2009.

Source: Section 562.105 — Contract Requirements, https://statutes.­capitol.­texas.­gov/Docs/IN/htm/IN.­562.­htm#562.­105 (accessed Jun. 5, 2024).

562.001
Purpose
562.002
Definitions
562.003
Venue for Actions Involving Department or Commissioner
562.004
Applicability
562.005
Liberal Construction
562.0041
Exemption
562.051
Misrepresentation Regarding Discount Health Care Program
562.052
False Information and Advertising
562.053
Failure to Register or Renew Registration
562.054
Misrepresentation of Discount Health Care Programs
562.055
Network Participation Requirements
562.056
Certain Methods of Promotions
562.101
Unfair Methods of Competition and Unfair or Deceptive Acts or Practices Prohibited
562.102
Prohibited Content of Certain Discount Health Care Program Advertising, Solicitation, or Marketing
562.103
Program Operator Duties
562.104
Marketing of Program
562.105
Contract Requirements
562.106
Submission of Materials
562.151
Examination and Investigation
562.152
Statement of Charges
562.153
Hearing
562.154
Hearing Procedures
562.155
Record of Hearing
562.156
Compliance with Subpoena
562.157
Determination of Violation
562.158
Cease and Desist Order
562.159
Modification or Setting Aside of Order
562.160
Administrative Penalty for Violation of Cease and Desist Order
562.161
Civil Penalty for Violation of Cease and Desist Order
562.201
Injunctive Relief
562.202
Venue for Injunctive Action
562.203
Issuance of Injunction
562.204
Civil Penalty
562.205
Compensation or Restoration
562.206
Civil Penalty for Violation of Injunction
562.207
Remedies Not Exclusive
562.251
Acceptance of Assurance
562.252
Effect of Assurance
562.253
Reopening
562.301
Liability Under Other Law
562.302
Powers in Addition to Other Powers Authorized by Law
562.303
Double Recovery Prohibited

Accessed:
Jun. 5, 2024

§ 562.105’s source at texas​.gov