S.B. No. 896 amends the Texas Insurance Code to extend the coverage period for newborns under certain health benefit plans. Specifically, the bill changes the duration of coverage for a newborn child from 32 days to 61 days after birth. Additionally, it requires that notice of the birth and any necessary additional premium be submitted to the health benefit plan issuer by the 60th day after the child's birth, rather than the 31st day as previously stipulated. This change applies to both multiple employer welfare arrangements and small and large employer health benefit plans.

Furthermore, the bill prohibits health benefit plans that provide maternity benefits or accident and health coverage from excluding or limiting initial coverage for newborns before the 61st day after birth. It also ensures coverage for congenital defects and the administration of newborn screening tests. The changes will take effect on September 1, 2025, and will apply only to health benefit plans that are delivered, issued for delivery, or renewed on or after January 1, 2026. Plans renewed before this date will continue to be governed by the previous law.

Statutes affected:
Introduced: Insurance Code 846.258, Insurance Code 1501.157, Insurance Code 1501.607 (Insurance Code 1501, Insurance Code 846)
Senate Committee Report: Insurance Code 846.258, Insurance Code 1367.003, Insurance Code 33.019, Insurance Code 1501.607 (Insurance Code 33, Insurance Code 1501, Insurance Code 1367, Insurance Code 846)
Engrossed: Insurance Code 846.258, Insurance Code 1367.003, Insurance Code 33.019, Insurance Code 1501.607 (Insurance Code 33, Insurance Code 1501, Insurance Code 1367, Insurance Code 846)
House Committee Report: Insurance Code 846.258, Insurance Code 1367.003, Insurance Code 33.019, Insurance Code 1501.607 (Insurance Code 33, Insurance Code 1501, Insurance Code 1367, Insurance Code 846)
Enrolled: Insurance Code 846.258, Insurance Code 1367.003, Insurance Code 33.019, Insurance Code 1501.607 (Insurance Code 33, Insurance Code 1501, Insurance Code 1367, Insurance Code 846)