bill banning unconscionable prices across health care

The text as introduced · 582 words

89R13794 SCR-D

By: Shaheen
H.B. No. 4500

A BILL TO BE ENTITLED

AN ACT

relating to unconscionable prices charged by health care providers

for health care services.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subchapter E, Chapter 17, Business & Commerce

Code, is amended by adding Section 17.465 to read as follows:

Sec. 17.465. UNCONSCIONABLE PRICE FOR HEALTH CARE

SERVICES. (a) In this section:

(1) "Emergency care" and "emergency facility" have the

meanings assigned by Section 17.464, as that section existed before

September 1, 2025.

(2) "Health care provider" means an individual or

facility licensed, certified, or otherwise authorized to provide

health care services in the ordinary course of business or

professional practice and includes a physician.

(3) "Health care services" includes emergency care

provided in an emergency facility, as those terms are defined by

Section 17.464, as that section existed before September 1, 2025.

(b) For purposes of Section 17.46(a), the term "false,

misleading, or deceptive acts or practices" includes a health care

provider that:

(1) provides health care services at an unconscionable

price; or

(2) demands or charges an unconscionable price for or

in connection with health care services provided by the health care

provider.

(c) The consumer protection division may not bring an action

under Section 17.47 for an act or practice described by Subsection

(b) if the price alleged to be unconscionable is less than 200

percent of the average charge for the same or substantially similar

health care services provided to other individuals by similar

health care providers located in the same county or nearest county

in which the health care provider is located, as applicable,

according to data collected by the Department of State Health

Services under Chapter 108, Health and Safety Code, and made

available to the division, except as provided by Subsection (d). If

the health care services are emergency care provided in an

emergency facility, the consumer protection division may not use

data that includes prices for care provided in an urgent care

setting or physician practice to establish the division's authority

to investigate and pursue an action under this subchapter.

(d) If the attorney general determines that the consumer

protection division is unable to obtain the charge data described

by Subsection (c), the attorney general may adopt rules designating

another source of charge data for use by the division in

establishing the average charge for health care services provided

by health care providers for purposes of Subsection (c).

(e) In an action brought under Section 17.47 to enforce this

section, the consumer protection division may request, and the

trier of fact may award the recovery of:

(1) reasonable attorney's fees and court costs; and

(2) the reasonable expenses incurred by the division

in obtaining any remedy available under Section 17.47, including

the cost of investigation, witness fees, and deposition expenses.

(f) This section does not create a private cause of action

for a false, misleading, or deceptive act or practice described by

Subsection (b).

SECTION 2. Section 17.464, Business & Commerce Code, is

repealed.

SECTION 3. The changes in law made by this Act apply only to

health care services provided on or after the effective date of this

Act. Health care services provided before the effective date of

this Act are governed by the law as it existed immediately before

the effective date of this Act, and that law is continued in effect

for that purpose.

SECTION 4. This Act takes effect September 1, 2025.