Senate Bill 2557, also known as House Bill 2503, amends various sections of the Tennessee Code Annotated related to health insurance. The bill specifically modifies Section 56-7-1013(f)(1) by changing the required notification period from "ten (10) business days" to "nine (9) business days." Additionally, the bill introduces new provisions that allow health insurance entities to offer short-term limited-duration plans and hospital indemnity coverage on the federally facilitated marketplace, provided they meet specific minimum coverage requirements. These requirements include limits on deductibles, coinsurance, and maximum out-of-pocket expenses, as well as stipulations for copays and pharmacy benefits.

Furthermore, the bill ensures that health insurance entities cannot conduct medical underwriting or discriminate based on preexisting conditions when enrolling individuals in these plans. The implementation of these provisions is contingent upon the passage of federal laws or regulations that permit the sale of such plans on the marketplace. The bill also mandates that the Department of Commerce and Insurance promulgate rules to effectuate these changes in accordance with the Uniform Administrative Procedures Act. The act is set to take effect upon becoming law, with specific sections activating 30 days after relevant federal regulations are enacted.

Statutes affected:
Introduced: 56-7-1013(f)(1), 56-7-1013
Amended with HA0901, HA1117 -- 04/15/2026: 56-7-1013(f)(1), 56-7-1013