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Texas Insurance Code - Not Codified - Article 29.01. Findings And Purposes

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Art. 29.01. FINDINGS AND PURPOSES. Text of article effective until September 1, 2007 The legislature finds that joint negotiation by competing physicians of certain terms and conditions of contracts with health plans will result in procompetitive effects in the absence of any express or implied threat of retaliatory joint action, such as a boycott or strike, by physicians. Although the legislature finds that joint negotiations over fee-related terms may in some circumstances yield anticompetitive effects, it also recognizes that there are instances in which health plans dominate the market to such a degree that fair negotiations between physicians and the plan are unobtainable absent any joint action on behalf of physicians. In these instances, health plans have the ability to virtually dictate the terms of the contracts they offer physicians. Consequently, the legislature finds it appropriate and necessary to authorize joint negotiations on fee-related and other issues where it determines that such imbalances exist. Added by Acts 1999, 76th Leg., ch. 1586, Sec. 1, eff. Sept. 1, 1999.

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Last modified: August 11, 2007