S.B. No. 963 amends Section 540.0055 of the Government Code to allow Medicaid managed care organizations to engage in marketing activities related to the availability of certain private health benefit plans. The bill introduces new guidelines that prohibit the commission from restricting these organizations from informing individuals, including current or former recipients, about qualified health plans available through an exchange, as well as advertising Medicare Advantage plans at community events. Additionally, the bill mandates that if a Medicaid managed care organization provides information about qualified health plans, it must also disclose potential deductibles, copayments, and other cost-sharing requirements associated with those plans.

Furthermore, the bill stipulates that organizations cannot offer material or financial incentives to individuals as an encouragement to enroll in a qualified health plan. The implementation of this act is contingent upon obtaining any necessary waivers or authorizations from federal agencies, and it is set to take effect on September 1, 2025.