Tex. Labor Code Section 409.0091
Reimbursement Procedures for Certain Entities


(a)

In this section, “health care insurer” means an insurance carrier and an authorized representative of an insurance carrier, as described by Section 402.084 (Record Check; Release of Information)(c-1).

(b)

This section applies only to a request for reimbursement by a health care insurer.

(c)

Health care paid by a health care insurer may be reimbursable as a medical benefit.

(d)

Except as provided by Subsection (e), this section does not prohibit or limit a substantive defense by a workers’ compensation insurance carrier that the health care paid for by the health care insurer was not a medical benefit or not a correct payment. A subclaimant may not be reimbursed for payment for any health care that was previously denied by a workers’ compensation insurance carrier under:

(1)

a preauthorization review of the specific service or medical procedure; or

(2)

a medical necessity review that determined the service was not medically necessary for the treatment of a compensable injury.

(e)

It is not a defense to a subclaim by a health care insurer that:

(1)

the subclaimant has not sought reimbursement from a health care provider or the subclaimant’s insured;

(2)

the subclaimant or the health care provider did not request preauthorization under Section 413.014 (Preauthorization Requirements; Concurrent Review and Certification of Health Care) or rules adopted under that section; or

(3)

the health care provider did not bill the workers’ compensation insurance carrier, as provided by Section 408.027 (Payment of Health Care Provider), before the 95th day after the date the health care for which the subclaimant paid was provided.

(f)

Subject to the time limits under Subsection (n), the health care insurer shall provide, with any reimbursement request, the tax identification number of the health care insurer and the following to the workers’ compensation insurance carrier, in a form prescribed by the division:

(1)

information identifying the workers’ compensation case, including:

(A)

the division claim number;

(B)

the name of the patient or claimant;

(C)

the social security number of the patient or claimant; and

(D)

the date of the injury; and

(2)

information describing the health care paid by the health care insurer, including:

(A)

the name of the health care provider;

(B)

the tax identification number of the health care provider;

(C)

the date of service;

(D)

the place of service;

(E)

the ICD-9 code;

(F)

the CPT, HCPCS, NDC, or revenue code;

(G)

the amount charged by the health care provider; and

(H)

the amount paid by the health care insurer.

(g)

The workers’ compensation insurance carrier shall reduce the amount of the reimbursable subclaim by any payments the workers’ compensation insurance carrier previously made to the same health care provider for the provision of the same health care on the same dates of service. In making such a reduction in reimbursement to the subclaimant, the workers’ compensation insurance carrier shall provide evidence of the previous payments made to the provider.

(h)

For each medical benefit paid, the workers’ compensation insurance carrier shall pay to the health care insurer the lesser of the amount payable under the applicable fee guideline as of the date of service or the actual amount paid by the health care insurer. In the absence of a fee guideline for a specific service paid, the amount per service paid by the health care insurer shall be considered in determining a fair and reasonable payment under rules under this subtitle defining fair and reasonable medical reimbursement. The health care insurer may not recover interest as a part of the subclaim.

(i)

On receipt of a request for reimbursement under this section, the workers’ compensation insurance carrier shall respond to the request in writing not later than the 90th day after the date on which the request is received. If additional information is requested under Subsection (j), the workers’ compensation insurance carrier shall respond not later than the 120th day unless the time is extended under Subsection (j).

(j)

If the workers’ compensation insurance carrier requires additional information from the health care insurer, the workers’ compensation insurance carrier shall send notice to the health care insurer requesting the additional information. The health care insurer shall have 30 days to provide the requested information. The workers’ compensation insurance carrier and the health care insurer may establish additional periods for compliance with this subsection by written mutual agreement.

(k)

Unless the parties have agreed to an extension of time under Subsection (j), the health care insurer must file a written subclaim under this section not later than the 120th day after:

(1)

the workers’ compensation insurance carrier fails to respond to a request for reimbursement; or

(2)

receipt of the workers’ compensation insurance carrier’s notice of denial to pay or reduction in reimbursement.

(l)

Any dispute that arises from a failure to respond to or a reduction or denial of a request for reimbursement of services that form the basis of the subclaim must go through the appropriate dispute resolution process under this subtitle and division rules. The commissioner of insurance and the commissioner of workers’ compensation shall modify rules under this subtitle as necessary to allow the health care insurer access as a subclaimant to the appropriate dispute resolution process. Rules adopted or amended by the commissioner of insurance and the commissioner of workers’ compensation must recognize the status of a subclaimant as a party to the dispute. Rules modified or adopted under this section should ensure that the workers’ compensation insurance carrier is not penalized, including not being held responsible for costs of obtaining the additional information, if the workers’ compensation insurance carrier denies payment in order to move to dispute resolution to obtain additional information to process the request.

(m)

In a dispute filed under Chapter 410 (Adjudication of Disputes) that arises from a subclaim under this section, an administrative law judge may issue an order regarding compensability or eligibility for benefits and order the workers’ compensation insurance carrier to reimburse health care services paid by the health care insurer as appropriate under this subtitle. Any dispute over the amount of medical benefits owed under this section, including medical necessity issues, shall be determined by medical dispute resolution under Sections 413.031 (Medical Dispute Resolution) and 413.032 (Independent Review Organization Decision; Appeal).

(n)

Except as provided by Subsection (s), a health care insurer must file a request for reimbursement with the workers’ compensation insurance carrier not later than six months after the date on which the health care insurer received information under Section 402.084 (Record Check; Release of Information)(c-3) and not later than 18 months after the health care insurer paid for the health care service.

(o)

The commissioner and the commissioner of insurance shall amend or adopt rules to specify the process by which an employee who has paid for health care services described by Section 408.027 (Payment of Health Care Provider)(d) may seek reimbursement.

(p)

Until September 1, 2011, a workers’ compensation insurance carrier is exempt from any department and division data reporting requirements affected by a lack of information caused by reimbursement requests or subclaims under this section. If data reporting is required after that date, the requirement is prospective only and may not require any data to be reported between September 1, 2007, and the date required reporting is reinstated. The department and the division may make legislative recommendations to the 82nd Legislature for the collection of reimbursement request and subclaim data.

(q)

An action or failure to act by a workers’ compensation insurance carrier under this section may not serve as the basis for an examination or administrative action by the department or the division, or for any cause of action by any person, except for judicial review under this subtitle.

(r)

The commissioner of insurance and the commissioner of workers’ compensation may adopt additional rules to clarify the processes required by, fulfill the purpose of, or assist the parties in the proper adjudication of subclaims under this section.

(s)

On or after September 1, 2007, from information provided to a health care insurer before January 1, 2007, under Section 402.084 (Record Check; Release of Information)(c-3), the health care insurer may file not later than March 1, 2008:

(1)

a subclaim with the division under Subsection (l) if a request for reimbursement has been presented and denied by a workers’ compensation insurance carrier; or

(2)

a request for reimbursement under Subsection (f) if a request for reimbursement has not previously been presented and denied by the workers’ compensation insurance carrier.
Added by Acts 2007, 80th Leg., R.S., Ch. 1007 (H.B. 724), Sec. 8, eff. September 1, 2007.
Amended by:
Acts 2017, 85th Leg., R.S., Ch. 839 (H.B. 2111), Sec. 2, eff. September 1, 2017.

Source: Section 409.0091 — Reimbursement Procedures for Certain Entities, https://statutes.­capitol.­texas.­gov/Docs/LA/htm/LA.­409.­htm#409.­0091 (accessed Apr. 20, 2024).

Accessed:
Apr. 20, 2024

§ 409.0091’s source at texas​.gov