(a) The following regulated entities shall be subject to the billing system established by this section:

(1) regulated entities submitting filings requiring a fee pursuant to §§3.1, et seq, of this title (relating to Scope); and

(2) regulated entities submitting filings requiring a fee pursuant to §11.301(4)(A), (B), and (L) and (5)(C), (G), (K), (M), and (N) of this title (relating to Filing Requirements).

(b) As of the effective date of this section, the department shall, as soon as practical and possible, implement a billing system whereby each regulated entity identified in subsection (a) of this section will be billed by invoice.

(c) The department shall mail the invoice to the regulated entity's last billing address on file with the Filings Intake Division of the Texas Department of Insurance, and shall include the name of the billing contact person and an itemization of all filings and fee amounts for which the processing of the form has been completed (e.g., approved, disapproved, withdrawn, or exempted).

(d) If there is a change to a regulated entity's billing address or billing contact person, the regulated entity shall submit written notification of the change to the Texas Department of Insurance, Filings Intake Division, Mail Code 106-1E, P.O. Box 149104, Austin, Texas 78714-9104 or 333 Guadalupe, Austin, Texas 78701, or by emailing lifehealth@tdi.state.tx.us.

(e) An invoice issued by the department shall become due and payable upon receipt by the designated billing contact person.

(f) In the event an invoice becomes past due 120 days or more, the department shall place a hold on the regulated entity's filing fee account with the department. The department may elect not to place a hold on a regulated entity's filing fee account if, as determined by the department, extenuating circumstances exist beyond the control of the regulated entity which impede the regulated entity's ability to pay an overdue amount (e.g., natural disasters, etc.).

(g) If a hold is placed on a regulated entity's filing fee account pursuant to subsection (f) of this section, the regulated entity shall be subject to the following:

(1) The regulated entity shall pay the amount past due 120 days or more plus any other filing fee amounts that have been billed and not paid, before the hold may be removed from the regulated entity's filing fee account.

(2) Filings received prior to the date the hold is placed on the regulated entity's filing fee account shall be processed in accordance with the requirements of §§3.1, et seq. of this title, and §11.301 of this title until the processing of the form has been completed (e.g., approved, disapproved, withdrawn, or exempted).

(3) Filings received by the department on or after the date the hold is placed on the regulated entity's filing fee account shall be rejected by the department and shall not be accepted until all filing fee amounts for which an invoice has been issued are paid and cleared, and the hold is removed.

(h) A filing fee is not required to be attached to a filing submitted on or after the implementation of the billing system established by this section. Any filing fee submitted with a filing shall be credited to the regulated entity's filing fee account with the department.

Source Note: The provisions of this §7.1302 adopted to be effective June 1, 2003, 28 TexReg 3961