Report Title:

Acupuncture; Mandatory Health Insurance Coverage

RESOLUTION

WHEREAS, acupuncture is one of the healing arts which has evolved from traditional Chinese medicine -- a practice involving the curing of illness by puncturing various areas of the human body with needles to stimulate nerve centers beneath; and

WHEREAS, while assertions that acupuncture can cure disease defy Western clinical experience and have yet to be formally substantiated, acupuncture appears to be effective in relieving pain, is routinely used in China as an anesthetic during surgery, and has been used successfully in Asia for centuries; and

WHEREAS, acupuncture, in combination with other forms of alternative medicine, has also been used with varying degrees of success in treating back pain, high blood pressure, heart disease, stroke, and addictions, and may relieve various symptoms associated with cancer; and

WHEREAS, acupuncture does not involve the use of expensive technologies, does not rely on expensive equipment or costly drugs, and does not require hospitalization. Acupuncture fees are generally significantly lower than fees for conventional medicinal procedures to treat the same conditions; and

WHEREAS, according to a 1998 Stanford University survey, over sixty-nine per cent of Americans use some form of alternative medicine, such as acupuncture, to complement traditional visits to the doctor, and fifty-six per cent of Americans would be willing to pay an additional $15 a month for a health plan that includes this type of coverage; and

WHEREAS, although Americans of all races, creeds, and ethnic origins have been trained as acupuncturists and have used acupuncture services, it is still used most commonly by Asian Americans. Many believe that at least part of the reason why acupuncture is not reimbursable and why it is often treated with skepticism is the fact that is was developed in Asia and not in the West. Denying coverage for acupuncture may especially be considered discriminatory in Hawaii, given the State's large Asian American population; and

WHEREAS, acupuncture is recognized as a profession in the State of Hawaii by the Board of Acupuncture, and is an accepted medical procedure for purposes of no-fault insurance coverage; and

WHEREAS, many people in this State believe that acupuncture is more effective than Western medicine in treating certain types of ailments; and

WHEREAS, the costs for those who believe in the effectiveness of acupuncture are high, because acupuncture services are not covered by health insurance; and

WHEREAS, because of the absence of health insurance coverage, the rights of those who maintain such a belief to choose a preferred mode of health care are denied when they cannot obtain acupuncture services because of a lack of insurance; and

WHEREAS, the Legislature believes that if all health insurance plans in this State were to provide coverage for acupuncture services, the people of Hawaii would have greater access to a broader range of treatment services and, ultimately, more efficient and cost-effective health care; and

WHEREAS, other states have been increasingly receptive to providing coverage for acupuncture services. For example, Virginia law requires health insurers and health service plan providers who furnish coverage for acupuncture treatment to provide equal coverage for those services when provided by licensed acupuncturists. Similar laws have been enacted in Maine, Rhode Island, Oregon, and Alaska; and

WHEREAS, legislation has also been introduced in other states and the United States Congress to provide for health coverage for acupuncture services; and

WHEREAS, section 23-51, Hawaii Revised Statutes ("Proposed mandatory health insurance coverage; impact assessment report") requires that "[b]efore any legislative measure that mandates health insurance coverage for specific health services, specific diseases, or certain providers of health care services as part of individual or group health insurance policies, can be considered, there shall be concurrent resolutions passed requesting the auditor to prepare and submit to the legislature a report that assesses both the social and financial effects of the proposed mandated coverage"; and

WHEREAS, section 23-51 further provides that "[t]he concurrent resolutions shall designate a specific legislative bill that:

(1) Has been introduced in the legislature; and

(2) Includes, at a minimum, information identifying the:

1. Specific health service, disease, or provider that would be covered;

(B) Extent of the coverage;

(C) Target groups that would be covered;

(D) Limits on utilization, if any; and

(E) Standards of care.

For purposes of this part, mandated health insurance coverage shall not include mandated optionals"; and

WHEREAS, section 23-52, Hawaii Revised Statutes ("assessment report; contents"), further specifies the minimum information required for assessing the social and financial impact of the proposed health coverage mandate in the Auditor's report; and

WHEREAS, S.B. No. 265 (2001) mandates coverage of acupuncture services for all policies and contracts, hospital and medical service plan contracts, medical service corporation contracts, and health maintenance organization plans and contracts issued after December 31, 2001; and

WHEREAS, the Legislature believes that mandatory health insurance coverage for acupuncture services, as provided in S.B. No. 265 (2001), will substantially reduce illness and assist in the maintenance of good health for the people of this State; now, therefore,

BE IT RESOLVED by the House of Representatives of the Twenty-first Legislature of the State of Hawaii, Regular Session of 2001, the Senate concurring, that the Auditor is requested to conduct an impact assessment report, pursuant to sections 23-51 and 23-52, Hawaii Revised Statutes, of the social and financial impacts of mandating coverage of acupuncture services for all policies and contracts, hospital and medical service plan contracts, medical service corporation contracts, and health maintenance organization plans and contracts issued after December 31, 2001, as provided in S.B. No. 265 (2001); and

BE IT FURTHER RESOLVED that the Auditor is requested to submit findings and recommendations to the Legislature, including any necessary implementing legislation, twenty days prior to the convening of the Regular Session of 2002; and

BE IT FURTHER RESOLVED that a certified copy of this Concurrent Resolution be transmitted to the Auditor.