STAND. COM. REP. NO.  660-08

Honolulu, Hawaii

                , 2008

RE:   H.B. No. 2256

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2008

State of Hawaii

Sir:

     Your Committee on Judiciary, to which was referred H.B. No. 2256, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO INSURANCE,"

begs leave to report as follows:

     The purpose of this measure is to allow accident and health or sickness insurers with less than five per cent market share to enter into agreements that allow the insurer to refuse to issue to or renew a policy for a person unless the person contracts for another class of insurance, or an additional policy of the same class of insurance.

     Testimony in support of this measure was received from Hawaii Medical Assurance Association. Testimony in opposition to this measure was received from the Department of Commerce and Consumer Affairs, the Attorney General, and Hawaii Medical Services Association.

     Your Committee notes the concerns of the Committee on Consumer Protection & Commerce that this measure may not be of appropriate scope and may not be addressing a serious consumer need at this time. Your Committee recommends that the Committee on Finance continue to address the implications of this measure in its current form.

     As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2256, H.D. 1, and recommends that it be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Judiciary,

____________________________

TOMMY WATERS, Chair