Senator Charles Schwertner has filed Senate Bill 1122 to reinforce Attorney General Ken Paxton's Opinion No. KP-0480 regarding state health benefit plans and the Employee Retirement Income Security Act (ERISA) preemption. The announcement was made in a letter to Governor Greg Abbott on February 10, 2025, and subsequently released on the social media platform X.
According to Schwertner, the filing of Senate Bill 1122 aims to address concerns over industry stakeholders questioning the enforcement of official Attorney General opinions by state agencies. The bill seeks to strengthen insurance reforms introduced in previous legislative sessions.
Attorney General Ken Paxton issued an opinion addressing Texas State Senator Charles Schwertner about the enforceability of House Bills 1763 and 1919. Paxton confirmed that these bills, which regulate contracts between pharmacists, pharmacy benefit managers (PBMs), and insurance providers, do not conflict with ERISA. The opinion clarifies that the provisions are enforceable against health benefit plans covering Texas residents or contracting with Texas pharmacies, regardless of the plan’s domicile, while remaining compliant with state law.
Charles Schwertner's post
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"Today, I sent a letter to Governor Abbott upon learning that some industry stakeholders have urged the Texas Department of Insurance to disregard the enforcement of legislation signed into law, along with the subsequent clarification provided in a formal opinion from the Office of the Attorney General. It is imperative that we provide certainty to all stakeholders and uphold the legislative and legal frameworks that govern public policy in Texas," said Schwertner in an X post.
Schwertner has represented Senate District 5 since 2013 and chairs both the Senate Committee on Business and Commerce and the Sunset Advisory Commission. He is also a member of several other committees including Finance, State Affairs, and the Legislative Budget Board. Throughout his tenure, he has worked on policy initiatives such as Constitutional Carry, electrical grid reform, mental health access, small business tax cuts, and senior protections according to information from the Texas Senate.
