STAND. COM. REP. NO. 668-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: H.B. No. 2158
                                     H.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Consumer Protection and Commerce, to which
was referred H.B. No. 2158 entitled: 

     "A BILL FOR AN ACT RELATING TO MOTOR VEHICLE INSURANCE,"

begs leave to report as follows:

     The purpose of this measure is to amend section 431:10C-
103.6, Hawaii Revised Statutes (HRS), by:

     (1)  Mandating that treatment by durable medical equipment
          be limited to no more than $50 per accident; and

     (2)  Define "durable medical equipment."

     Testimony in support of this measure was provided by the
Hawaii State Chiropractic Association.  The Consumer Lawyers of
Hawaii testified in support of this measure with proposed
amendments.  Testimony commenting on this measure was submitted
by the Department of Commerce and Consumer Affairs.

     Your Committee finds that medical equipment and supplies
should be covered by personal injury protection benefits under
section 431:10C-103.5, HRS, as they are medical "products."  Your
Committee received testimony that most insurance companies
currently cover medical equipment and supplies, however, one or
two do not comply with the law.  

     Your Committee has therefore amended this measure to clarify
that medical equipment and supplies are covered under current law

 
 
                                 STAND. COM. REP. NO. 668-00
                                 Page 2

 
by amending section 431:10C-103.5, HRS, to expressly provide
coverage for "medical equipment and supplies" when prescribed or
provided by any health care provider recognized in section
431:10C-103.5(a), HRS.

     Although many durable medical equipment and supplies, such
as braces, cervical collars, and splints cost less than $50, many
others such as wheelchairs or transcutaneous electrical nerve
stimulation (TENS) units cost more.  Your Committee has therefore
deleted the proposed $50 limit.  This is consistent with the
reimbursement practices of most insurance companies.  The
definition of durable medical equipment has also been deleted in
light of the amendments discussed above.

     As affirmed by the record of votes of the members of your
Committee on Consumer Protection and Commerce that is attached to
this report, your Committee is in accord with the intent and
purpose of H.B. No. 2158 as amended herein, and recommends that
it pass Second Reading in the form attached hereto as H.B. No.
2158, H.D. 1, and be placed on the calendar for Third Reading.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Consumer
                                   Protection and Commerce,



                                   ______________________________
                                   RON MENOR, Chair