STAND. COM. REP. NO. 1194
Honolulu, Hawaii
, 2005
RE: S.B. No. 756
S.D. 1
H.D. 2
Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twenty-Third State Legislature
Regular Session of 2005
State of Hawaii
Sir:
Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 756, S.D. 1, H.D. 1, entitled:
"A BILL FOR AN ACT RELATING TO INSURANCE,"
begs leave to report as follows:
The purpose of this bill is to establish an expedited certification process for foreign health maintenance organizations by waiving certain filing requirements.
Your Committee received testimony in support of this bill from the Department of Commerce and Consumer Affairs. Testimony in opposition of this measure was received from HMAA. The Hawaii Medical Service Association provided comments and concerns.
Upon further consideration, your Committee has amended this measure by replacing its substance with that of H.B. No. 160, H.D. 1, which passed out of your Committee earlier this session. As amended, this bill:
(1) Provides a formula for Insurance Division assessments of insurers regulated under Title 24 that restricts assessments to amounts needed for regulation of insurers;
(2) Caps the total assessments that may be collected in any fiscal year at $2,000,000, to provide insurers with some assurance of stability in assessment amounts;
(3) Specifies that insurers be provided with 60 days notice of when their assessments are due; and
(4) Requires the Auditor to conduct an annual audit of the Insurance Regulation sub-account of the Compliance Resolution Fund that is to be submitted to the Legislature prior to each regular session.
Your Committee finds that as amended, this bill will increase the transparency and accountability of the Insurance Division, and establish in statute a policy that limits the regulatory burdens of insurers to fair and justifiable levels.
As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 756, S.D. 1, H.D. 1, as amended herein, and recommends that it be referred to the Committee on Finance in the form attached hereto as S.B. No. 756, S.D. 1, H.D. 2.
Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,
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____________________________ KENNETH HIRAKI, Chair |
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