Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Commerce, Consumer Protection and Housing, to which was referred S.B. No. 1315 entitled:

begs leave to report as follows:

The purpose of this measure is to clarify the hiring authority of the Insurance Fraud Investigations Branch (Branch) of the Insurance Division, expand the authority of the Branch's investigator assistants and auditors, broaden the Branch's fraud program's purpose to include an educational component, and clarify the Branch's funding source.

The Department of Commerce and Consumer Affairs testified in support of this measure.

This measure:

This measure will aid the Insurance Division's efforts in combating insurance fraud by enabling the Branch to hire technical experts and other professionals, allowing the utilization of staff resources in a more efficient manner, and increasing public and industry awareness about fraudulent insurance activities.

As affirmed by the record of votes of the members of your Committee on Commerce, Consumer Protection and Housing that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1315 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.