TITLE insurance

Part I. Texas Department of Insurance

Chapter 19. Agent's Licensing

Subchapter R. Utilization Review Agents

28 TAC §19.1722

The Commissioner of Insurance adopts new §19.1722 concerning the creation of a utilization review advisory committee without changes to the proposed text as published in the November 7, 1997, issue of the Texas Register (22 TexReg 10896).

This new section is necessary to set forth the parameters of an advisory committee to assist the commissioner in implementing and enforcing the Health Care Utilization Review Agents statute appearing at Insurance Code Article 21.58A. The rule defines and describes the duties, make-up and duration of the Utilization Review Advisory Committee, pursuant to Insurance Code Article 21.58A, §13. The Utilization Review Advisory Committee is necessary to assist the commissioner in developing rules for utilization review. It is anticipated that at least one area of utilization review rules will be necessary in the coming year. The Utilization Review Advisory Committee is terminated as of December 31, 1998. Setting a firm termination date for the committee encourages it to fulfill its statutory purpose efficiently and timely.

This section describes the purpose of the Utilization Review Advisory Committee, which is to advise the commissioner in developing rules and regulations for utilization review, and enumerates the tasks by which the committee is to achieve its purpose. The advisory committee is to be comprised of one representative from each of the following: Office of Public Insurance Counsel, an insurance company, an HMO, a group hospital service corporation, a utilization review agent, a consumer group, an employer, a physician, a dentist, a hospital, a registered nurse, and other health care providers. The advisory committee is to terminate on December 31, 1998 unless its duration is extended by the commissioner.

No comments were received regarding adoption of the new section.

The new section is adopted under the Insurance Code, Articles 21.58A, §13 and 1.03A. Insurance Code Article 21.58A, §13 directs the commissioner to appoint an advisory committee to assist and advise the commissioner in developing rules and regulations for utilization review. Article 1.03A provides that the Commissioner of Insurance may adopt rules and regulations to execute the duties and functions of the Texas Department of Insurance. The Government Code, §§2001.004 et seq. authorizes and requires each state agency to adopt rules of practice setting forth the nature and requirement of available procedures and prescribes the procedures for adoption of rules by a state administrative agency.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Issued in Austin, Texas, on December 17, 1997.

TRD-9716869

Lynda H. Nesenholtz

Assistant General Counsel

Texas Department of Insurance

Effective date: January 6, 1998

Proposal publication date: November 7, 1997

For further information, please call: (512) 463-6327