HB 3042
Paul Bill Exempts Lab Claim-Editing Vendors From Utilization Review Law
Died in committee
Verdict: Smells
Why it's charged
Carve-out
THE TEXT
“The activities of a laboratory claim integrity program are exempt from the requirements of Chapter 4201.”
Bill text, introduced version (I)
One kind of business, the lab claim-editing vendor, is taken out of the utilization review chapter that governs similar claim-review work. Together with the rule that its flagged denials are not adverse determinations under that chapter, this delivers a regulatory exemption inside a bill that reads as oversight.
Carve-outReviewed · Nov 1, 2026 · Headline, summary and grade are analysis of the bill text, not a finding about any person · How we grade
Caption
relating to laboratory claim integrity programs for health benefit plans.
Caption from analyzed text · version I.
Summary
Vendors register every three years. Denials they flag don’t count as adverse determinations under that law.
The bill makes companies that run laboratory claim integrity programs, which are claim-editing systems that flag lab tests as wasteful under a health plan's payment rules, register with the Texas Department of Insurance every three years and follow set rules. It touches these vendors, the health insurers and HMOs that hire them, the doctors and labs whose claims get reviewed, and patients. Vendors must use evidence-based rules, post a program summary, and avoid forcing software choices on providers, but their work is exempted from the state's utilization review law, and claim denials they flag are not treated as adverse determinations under that law.
Labels
Labels: PENDING FOREVER. Heard by the House Insurance committee on Apr 30, 2025 and left pending. Never voted out. The bill died.
Receipt
The receipt
89R-HB3042 · 2025-02-19
SOLD BY
ITEM
relating to laboratory claim integrity programs for health benefit plans.
WHAT IT DOES
Vendors register every three years. Denials they flag don’t count as adverse determinations under that law.
The bill makes companies that run laboratory claim integrity programs, which are claim-editing systems that flag lab tests as wasteful under a health plan's payment rules, register with the Texas Department of Insurance every three years and follow set rules. It touches these vendors, the health insurers and HMOs that hire them, the doctors and labs whose claims get reviewed, and patients. Vendors must use evidence-based rules, post a program summary, and avoid forcing software choices on providers, but their work is exempted from the state's utilization review law, and claim denials they flag are not treated as adverse determinations under that law.
CHARGES
[x] CARVE-OUTanalysis confidence 60%
THE TEXT
“The activities of a laboratory claim integrity program are exempt from the requirements of Chapter 4201.”
Bill text, introduced version (I)
One kind of business, the lab claim-editing vendor, is taken out of the utilization review chapter that governs similar claim-review work. Together with the rule that its flagged denials are not adverse determinations under that chapter, this delivers a regulatory exemption inside a bill that reads as oversight.
TOTAL
No significant fiscal implication to the State is anticipated.
LBB estimate · fiscal note version I · source
Sources
Fiscal note · version I · April 29, 2025
No first-year general revenue figure available here.
LBB published estimates · flow over the stated periods.
Source snapshot 2026-10-19, Central time.
HISTORY
- Filed
- Read first time
- Referred to Insurance
- Scheduled for public hearing on . . .
- Considered in public hearing
- Testimony taken/registration(s) recorded in committee
- Left pending in committee
FILED UNDER
No verified beat found.
THANK YOU FOR CHECKING THE RECEIPT
CAMPAIGN PAID FOR BY
CAMPAIGN PAID FOR BY
Donors
Not tied to this bill.
Sources
The author's campaign account only. Own money and internal transfers are separate on the member page.
Derived itemized flow · Oct 28, 2024 to Aug 27, 2025. State data as of Nov 4, 2026.
Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.
Texans for Lawsuit Reform PAC$25,000.00
Texans for Lawsuit Reform PAC
$25,000.00
- Cash
- $25,000.00
- Paid by others
- $0.00
- Total
- $25,000.00
Also funds 124 other sitting lawmakers.
Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.
TEC account match.
TeamSources
Derived itemized flow · on Jun 25, 2025. State data as of Nov 4, 2026.
Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.
Report IDs: 101010120.
Richard Weekley$12,500.00
Richard Weekley
$12,500.00
- Cash
- $12,500.00
- Paid by others
- $0.00
- Total
- $12,500.00
Also funds 0 other sitting lawmakers.
Derived recipient stock · on Jun 27, 2025. State data as of Nov 4, 2026.
Name match, not a verified identity: normalized filed name and state.
Sources
Derived itemized flow · on Jun 27, 2025. State data as of Nov 4, 2026.
Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.
Report IDs: 101010120.
Missing data does not establish zero giving. Display amounts are rounded.
Texans for Lawsuit Reform PAC
$25,000.00
- Cash
- $25,000.00
- Paid by others
- $0.00
- Total
- $25,000.00
Also funds 124 other sitting lawmakers.
Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.
TEC account match.
TeamSources
Derived itemized flow · on Jun 25, 2025. State data as of Nov 4, 2026.
Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.
Report IDs: 101010120.
Richard Weekley
$12,500.00
- Cash
- $12,500.00
- Paid by others
- $0.00
- Total
- $12,500.00
Also funds 0 other sitting lawmakers.
Derived recipient stock · on Jun 27, 2025. State data as of Nov 4, 2026.
Name match, not a verified identity: normalized filed name and state.
Sources
Derived itemized flow · on Jun 27, 2025. State data as of Nov 4, 2026.
Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.
Report IDs: 101010120.
Votes
No floor vote loaded for this bill.
Fiscal
No significant fiscal implication to the State is anticipated.
LBB estimate · fiscal note version I · source
Sources
Fiscal note · version I · April 29, 2025
No first-year general revenue figure available here.
LBB published estimates · flow over the stated periods.
Source snapshot 2026-10-19, Central time.
How this was graded
Analysis of text version I by claude-opus-5-5, Oct 20, 2026, against the published rubric.
Sources
Texas House · Filed Feb 19, 2025
04/30/2025 H Left pending in committee
Texas Legislature Online · Introduced
Data snapshot Nov 1, 2026 at 1:48 PM CST. Grades, charges, quotes and corrections follow the published record.
House committee · Insurance · Final status: Died in committee
Subjects
Insurance--Health & Accident
BLOOD & MEDICAL TESTS
INSURANCE, COMMISSIONER OF
Text
The text as introduced · 741 words
89R2337 RDR-F By: Paul H.B. No. 3042 A BILL TO BE ENTITLED AN ACT relating to laboratory claim integrity programs for health benefit plans. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subtitle A, Title 8, Insurance Code, is amended by adding Chapter 1224 to read as follows: CHAPTER 1224. LABORATORY CLAIM INTEGRITY PROGRAMS Sec. 1224.001. DEFINITIONS. In this chapter: (1) "Clinical laboratory test" means the examination of a sample of biological material taken from a human body ordered by a physician or health care provider for use in the diagnosis, prevention, or treatment of a disease or the identification or assessment of a medical or physical condition. (2) "Enrollee" means an individual enrolled in a health benefit plan. (3) "Health benefit plan issuer" means an entity authorized under this code or another insurance law of this state to provide benefits for health care services, including: (A) an insurance company; (B) a group hospital service corporation operating under Chapter 842; (C) a health maintenance organization operating under Chapter 843; (D) an approved nonprofit health corporation that holds a certificate of authority under Chapter 844; (E) a multiple employer welfare arrangement that holds a certificate of authority under Chapter 846; or (F) a fraternal benefit society operating under Chapter 885. (4) "Laboratory claim integrity program" means a claim editing program that identifies wasteful clinical laboratory tests based on the health benefit plan's clinical laboratory testing reimbursement policies. (5) "Person" means an individual, corporation, trust, partnership, association, or any other legal entity. Sec. 1224.002. REGISTRATION FOR PERSON PROVIDING LABORATORY CLAIM INTEGRITY PROGRAM. (a) A person shall register with the department before providing a laboratory claim integrity program in this state. The registration is valid for three years and may be renewed. (b) The commissioner shall promulgate a form to be submitted under this section for the initial registration and renewal of a registration. The form for initial registration must include: (1) the name, address, telephone number, and e-mail address of the applicant; (2) the name and address of an agent for service of process in this state; and (3) a summary of the laboratory claim integrity program. (c) Upon request by the commissioner, a person registered under this section shall identify each health benefit plan issuer who has contracted with the person for the provision of a laboratory claim integrity program. Sec. 1224.003. EXEMPTIONS. (a) This chapter does not require registration as a person providing a laboratory claim integrity program by: (1) a health benefit plan issuer; or (2) a utilization review agent that has been issued a certificate of registration under Chapter 4201. (b) The activities of a laboratory claim integrity program are exempt from the requirements of Chapter 4201. Sec. 1224.004. REQUIREMENTS FOR LABORATORY CLAIM INTEGRITY PROGRAMS. (a) A laboratory claim integrity program shall: (1) apply only objective, evidence-based, and population-based clinical laboratory testing reimbursement policies; and (2) include a summary of the program or an electronic link to a summary of the program on its public Internet website. (b) A laboratory claim integrity program may not: (1) require the use of clinical decision support software by an enrollee's physician or health care provider before the physician or provider orders a clinical laboratory test for the enrollee; (2) restrict, limit, or influence a clinical laboratory test provider's choice of electronic health record software, electronic medical record software, or practice management software; (3) restrict, limit, or influence a clinical laboratory test provider's choice of third-party claim-filing service, billing service, or electronic data interchange clearinghouse company; (4) disclose an enrollee's protected health information unless the disclosure is authorized by the enrollee or the enrollee's authorized representative or is permitted without authorization under the Health Insurance Portability and Accountability Act of 1996 (42 U.S.C. Section 1320d et seq.) or under Section 602.053; or (5) hold a delegation from a health benefit plan issuer to make claim determinations. Sec. 1224.005. PROGRAM ACTIONS NOT ADVERSE DETERMINATION. A denial or reduction in payment of a claim that is identified by a laboratory claim integrity program as not meeting the requirements of an applicable health benefit plan clinical laboratory testing reimbursement policy is not an adverse determination for purposes of Chapter 4201. SECTION 2. Chapter 1224, Insurance Code, as added by this Act, applies only to a laboratory claim integrity program contract that is entered into or renewed on or after January 1, 2026. SECTION 3. This Act takes effect September 1, 2025.