Does Texas HB 300 Permit the Sale of PHI?

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Note: Compliancy Group cannot advise prospects or clients as to whether HB 300 applies to them. This issue is a question of law, and clients and prospects should consult a qualified attorney before proceeding.

Texas HB 300 contains rules on the sale of protected information (PHI).

Generally, an HB 300-covered entity may not disclose an individual's PHI to any other person in exchange for direct or indirect remuneration.  

There are two exceptions to this general rule. The first exception allows for PHI disclosures for direct or indirect remuneration when that disclosure is to an HB 300 or Texas Insurance Code "covered entity", for treatment, payment, healthcare operation, or for purposes of performing a Texas Insurance Code insurance or HMO function. Under this exception, any remuneration accepted for making PHI disclosures to Insurance Code "covered entities" for insurance or HMO functions cannot exceed reasonable preparation and transmission costs. 

The second exception allows for PHI disclosures for direct or indirect remuneration when the disclosure is permitted or required by state law or federal law.