Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Health, to which was referred S.B. No. 2589 entitled:

begs leave to report as follows:

The purpose of this measure is to extend the time frame for health insurance companies to determine the outcome of appeals not classified as expedited from forty-five days to sixty days.

Testimony in support of this measure was received from the Department of Commerce and Consumer Affairs and the Hawaii Medical Service Association. Testimony in opposition to this measure was received from the Hawaii Psychiatric Medical Association.

Your Committee finds that this measure does not unduly prejudice the rights of consumers and that the measure would amend the current statute to mirror federal regulations.

As affirmed by the record of votes of the members of your Committee on Health that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2589 and recommends that it pass Second Reading and be referred to the Committee on Commerce, Consumer Protection and Housing.