Senate Bill 2363, also known as House Bill 1877, amends the Tennessee Code Annotated to introduce a new section in Title 56, Chapter 7, Part 10, which defines and mandates the acceptance of electronic insurance cards by healthcare providers. The bill defines an "electronic insurance card" as a digital representation of an individual's insurance information, including details such as the policyholder's name and coverage dates. It also clarifies the terms "health insurance entity" and "healthcare provider" to ensure that the legislation applies to the appropriate parties involved in health insurance and healthcare services.

Additionally, the bill specifies that healthcare providers are required to accept electronic insurance cards as valid evidence of an individual's health insurance coverage. The original effective date of the act was set to be upon becoming law, but an amendment has changed this to January 1, 2026. This change allows for a transition period before the new requirements take effect.