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Texas Rule Impacting Professional Employer Organizations

We recently learned of a Texas rule impacting Professional Employer Organizations (PEO) who are licensed in Texas. The rule outlines specific provisions of the Texas insurance code which are applicable to PEOs. These provisions include requirements to cover certain state mandated benefits (for example, the requirement to cover annual screenings for females age 35 and older by low-dose mammography for the presence of occult breast cancer), among other things.


The responsibility to adhere to the requirements of this Texas rule rests with the PEO.  Self-insured PEOs should consult with their own legal counsel regarding the applicability of this rule.


If you are a PEO licensed in Texas, and have determined this law is applicable to you, please contact your Client Solutions team. Your Client Solutions team will partner with the Meritain Health compliance team so that we can determine what we can do for you. If you belong to a PEO, you should contact your PEO for more information.


If you have any questions, please contact your Client Solutions team.


Compliance Quarterly is being provided as an informational tool. It is recommended that plans consult with their own experts or counsel to review all applicable federal and state legal requirements that may apply to their group health plan. By providing this publication and any attachments, Meritain Health is not exercising discretionary authority over the plan and is not assuming a plan fiduciary role, nor is Meritain Health providing legal advice.