TX HB3124

Requires health benefit plans that cover inpatient physical therapy to also cover medically necessary services that maintain existing physical function, restore or prevent loss of function, slow functional decline, or reduce secondary health risks from physical dysfunction

Prohibits insurers from denying physical therapy coverage solely because the service is not expected to produce improvement in the patient's physical function, including for stroke or neurological condition patients

Expands the statutory definition of "physical therapy" to include maintaining existing function and slowing the progress of movement dysfunction or pain, in addition to preventing, identifying, correcting, or alleviating such conditions

Applies to a broad range of health plans including private insurance, HMOs, state employee plans, teacher plans, Medicaid, CHIP, and local government health benefits

Takes effect September 1, 2025, with insurance coverage requirements applying to plans delivered, issued, or renewed on or after January 1, 2026