March 03, 2020
On February 20, 2020, the Commissioner of Insurance issued Bulletin B-0003-20, stating that Texas law applies to certain HRA arrangements in both small and large group health plans. If a small employer pays part or all of the cost of its employees' individual health insurance, but does not use a QSEHRA, an ICHRA, or an excepted benefit HRA, the employer's arrangement will continue to be regulated under Insurance Code Section 1501.003 as a small group health plan. If a large employer pays part or all of the cost of its employees' individual health insurance, but does not use an ICHRA or an excepted benefit HRA, the employer's arrangement will continue to be regulated under Insurance Code Section 1501.004 as a large group health plan.
Texas Insurance Code Section 1501.003 (for small employers) and Section 1501.004 (for large employers) apply employer HMO and health insurance requirements under Texas law to an individual's health coverage when the individual's employer pays a portion of the premium or claims a federal tax benefit for providing employee health care benefits.
Employers who use HRAs with plans issued in Texas should be aware of this interpretation of Texas law.
Bulletin B-0003-20 »