STAND. COM. REP. NO. 106

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: H.B. No. 326
                                     




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committees on Health and Human Services and Housing, to
which was referred H.B. No. 326 entitled: 

     "A BILL FOR AN ACT RELATING TO HEALTH INSURANCE,"

beg leave to report as follows:

     The purpose of this bill is to require insurance coverage
for medical foods and low-protein modified food products required
in the treatment of inherited metabolic diseases.

     The Department of Health, the Department of Commerce and
Consumer Affairs, Kapiolani Medical Center, the American Academy
of Pediatrics, and concerned members of the community submitted
testimony in support of this measure.  Kaiser Permanente, and
State Farm Insurance Companies submitted testimony in opposition
to this measure.

     Your Committees respectfully request that the Committee on
Consumer Protection and Commerce further refine the schedule of
metabolic diseases to be included in the coverage provided by
specifying those diseases that shall be covered.  Your Committees
further request that a comprehensive schedule of those foods that
are to be purchased without a prescription in the normal course
of business be developed with the assistance of those supporting
this measure.

     The Department of Human Services and the Hawaii Medical
Services Association submitted comments.


 
 
                                 STAND. COM. REP. NO. 106
                                 Page 2

 
     As affirmed by the records of votes of the members of your
Committees on Health and Human Services and Housing that are
attached to this report, your Committees are in accord with the
intent and purpose of H.B. No. 326 and recommend that it pass
Second Reading and be referred to the Committee on Consumer
Protection and Commerce.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committees on Health and Human
                                   Services and Housing,




_____________________________      _______________________________
DENNIS ARAKAKI, Chair              ALEXANDER SANTIAGO, Chair