Texas § IN.1369.259 - LIMITATIONS ON PAYMENT ADJUSTMENTS AND RECOUPMENT

Full text of Texas The Texas Constitution § IN.1369.259 — LIMITATIONS ON PAYMENT ADJUSTMENTS AND RECOUPMENT, with citation guidance and answers to common questions.

§ IN.1369.259. LIMITATIONS ON PAYMENT ADJUSTMENTS AND RECOUPMENT

LIMITATIONS ON PAYMENT ADJUSTMENTS AND RECOUPMENT; USE OF EXTRAPOLATION PROHIBITED. (a) A health benefit plan issuer or pharmacy benefit manager may not calculate the amount of a recoupment based on: (1) an absence of documentation the pharmacist or pharmacy is not required by applicable federal laws and regulations and state laws and rules to maintain; or (2) an error that does not result in actual financial harm to the patient or enrollee, the health benefit plan issuer, or the pharmacy benefit manager. (a-1) Subject to Subsections (e) and (f), a health benefit plan issuer or pharmacy benefit manager may not, as the result of an audit, deny or reduce a claim payment made to a pharmacist or pharmacy after adjudication of the claim. (b) A health benefit plan issuer or pharmacy benefit manager may not require extrapolation audits as a condition of participation in a contract, network, or program for a pharmacist or pharmacy. (c) A health benefit plan issuer or pharmacy benefit manager may not use extrapolation to complete an on-site audit or a desk audit of a pharmacist or pharmacy. Notwithstanding Subsection (a)(2), the amount of a recoupment must be based on the actual overpayment or underpayment and may not be based on an extrapolation. (d) Repealed by Acts 2025, 89th Leg., R.S., Ch. 183 (S.B. 1236 ), Sec. 6, eff. September 1, 2025. (e) A health benefit plan issuer or pharmacy benefit manager may recoup from a pharmacist or pharmacy the cost of a prescription drug and the dispensing fee for the drug if: (1) the original claim was submitted fraudulently; (2) the original claim payment was incorrect because the pharmacist or pharmacy had already been paid for the pharmacist service; or (3) the pharmacist or pharmacy made a substantive nonclerical or non-recordkeeping error that led to the patient receiving the wrong prescription drug or dosage. (f) A health benefit plan issuer or pharmacy benefit manager may recoup only the dispensing fee from a pharmacist or pharmacy if the pharmacist or pharmacy made a clerical error that led to an overpayment. Added by Acts 2013, 83rd Leg., R.S., Ch. 915 (H.B. 1358 ), Sec. 1, eff. September 1, 2013. Amended by: Acts 2025, 89th Leg., R.S., Ch. 183 (S.B. 1236 ), Sec. 2, eff. September 1, 2025. Acts 2025, 89th Leg., R.S., Ch. 183 (S.B. 1236 ), Sec. 3, eff. September 1, 2025. Acts 2025, 89th Leg., R.S., Ch. 183 (S.B. 1236 ), Sec. 6, eff. September 1, 2025.

Source: official Texas text · Last verified 2026-08-27

Frequently Asked Questions About Texas § IN.1369.259

What does The Texas Constitution § IN.1369.259 cover?

Section IN.1369.259 ("LIMITATIONS ON PAYMENT ADJUSTMENTS AND RECOUPMENT") is part of the The Texas Constitution, the codified statutory law of Texas. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.

How do I cite Texas § IN.1369.259?

A common citation format is "The Texas Constitution § IN.1369.259" (Texas). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.

Is this the official text of Texas law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the Texas official source linked on this page or consult a licensed Texas attorney.

How does Texas § IN.1369.259 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Texas can advise on how this section applies to you. Contact your state or local bar association for a referral.

Sources & Verification

Not legal advice. Verify against the official source and consult a licensed attorney in Texas.