Texas Healthcare & Telehealth Compliance Guide

Texas has a strict Corporate Practice of Medicine (CPOM) doctrine, prohibiting non-physicians from owning medical practices or employing physicians. The Texas Medical Board actively enforces these rules. However, there are exceptions, such as for non-profit health organizations and hospitals, and physicians can enter into joint ventures with certain other professionals.

Frequently asked questions

How does Texas's strict CPOM doctrine affect my healthcare business?

Texas enforces strict Corporate Practice of Medicine laws, meaning non-physician entities cannot directly employ physicians or control clinical decisions. You'll need a properly structured PC-MSO arrangement to operate compliantly. TrueEval can guide you through the entity formation and management services agreements required.

Do I need a medical director for my medspa or IV therapy clinic in Texas?

Yes — Texas requires physician oversight for medical procedures performed in medspas, IV therapy clinics, and similar brick-and-mortar healthcare establishments. A medical director develops protocols, provides clinical oversight, and ensures regulatory compliance. TrueEval places board-certified medical directors licensed in Texas who understand both telehealth and in-person practice requirements.

Are Collaborative Practice Agreements required for NPs in Texas?

Yes, Texas requires Collaborative Practice Agreements (CPAs) between nurse practitioners and supervising physicians. NPs in Texas have restricted practice authority, meaning a CPA is necessary for prescriptive authority. TrueEval provides Texas-specific CPA templates and matches NPs with qualified collaborating physicians.

What are the Good Faith Exam requirements for prescribing in Texas?

Texas requires a Good Faith Exam before prescribing medications via telehealth. The GFE can be conducted via telehealth — no in-person visit is required first. Audio-only telehealth is permitted. TrueEval's physician network conducts compliant GFEs for Texas patients.

What compliance requirements apply to cash-pay healthcare businesses in Texas?

Cash-pay healthcare operations in Texas — including telehealth, medspas, IV therapy, and wellness clinics — must still comply with all state medical practice acts, CPOM laws, prescribing regulations, and scope of practice requirements. The main difference is you won't deal with insurance billing compliance, but you must still maintain proper corporate structure, physician oversight, and clinical documentation. TrueEval specializes in cash-pay compliance frameworks for Texas.

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