Insurance Code § 1702.051

Sec. 1702.051. LOSS-CONTROL OR VALUE-ADDED PRODUCTS AND SERVICES. (a) The cost to an insurer, health maintenance organization, or agent for a loss-control or value-added product or service provided to an insured, annuitant, or enrollee must be reasonable in comparison to that insured's, annuitant's, or enrollee's premiums or coverage for the class of the insured's, annuitant's, or enrollee's policy or contract. (b) If an insurer, health maintenance organization, or agent provides a loss-control or value-added product or service to an insured, annuitant, or enrollee, the insurer, health maintenance organization, or agent must ensure that the insured, annuitant, or enrollee is provided with contact information to assist the insured, annuitant, or enrollee with questions regarding the product or service. (c) An insurer, health maintenance organization, or agent must: (1) base the availability of the loss-control or value-added product or service on documented objective criteria; (2) offer the product or service in a manner that is not unfairly discriminatory; and (3) maintain the documented criteria and produce the criteria on request by the department. (d) An insurer, health maintenance organization, or agent may not use or implement a tracking device to track or gather the data of an individual as part of a loss-control or value-added product or service unless, before any use or implementation: (1) the intended use or implementation of the device is disclosed to the individual; and (2) the individual consents to the device's use or implementation. Added by Acts 2025, 89th Leg., R.S., Ch. 581 (H.B. 2221), Sec. 2, eff. September 1, 2025.