HOUSE OF REPRESENTATIVES |
H.B. NO. |
2028 |
TWENTY-FIFTH LEGISLATURE, 2010 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO GROUP LIFE INSURANCE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Chapter 431, Hawaii Revised Statutes, is amended by adding a new section to part II of article 10D, to be appropriately designated and to read as follows:
"§431:10D-A Other groups; limits. Group life insurance offered to a Hawaii resident under a group life insurance policy issued to a group, other than a group described in sections 431:10D-202 through 431:10D-211, shall be subject to the following requirements:
(1) No group life insurance policy shall be delivered in this State unless the commissioner finds that:
(A) The issuance of the group life insurance policy is not contrary to the best interest of the public;
(B) The issuance of the group life insurance policy would result in economies of acquisition or administration; and
(C) The benefits of the group life insurance policy are reasonable in relation to the premium charged;
(2) No group life insurance coverage may be offered in this State, pursuant to this section, by an insurer under a group life insurance policy issued in another state, unless:
(A) The commissioner has made a determination that the requirements of paragraph (1) have been met with regard to that group life insurance policy; or
(B) The other state has requirements substantially similar to those contained in paragraph (1) and has made a determination that the requirements have been met;
(3) The premium for the group life insurance policy shall be paid either from the policyholder's funds or from funds contributed by covered persons, or from both; and
(4) An insurer may exclude or limit the group life insurance policy coverage on any person as to whom evidence of individual insurability is not satisfactory to the insurer."
SECTION 2. Section 431:10A-201, Hawaii Revised Statutes, is amended by amending the definition of "group disability insurance" to read as follows:
"(4) Group disability insurance means that form of accident and health or sickness insurance covering groups of persons, with or without their dependents and family members, and issued under a master policy to:
(A) Such groups as qualify for group life
insurance under [[]sections[]] 431:10D-201 to 431:10D-211 and
431:10D-A of this code; or
(B) An automobile club formed for purposes other than obtaining group insurance, covering the members of the club."
SECTION 3. In codifying the new section added by section 1 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act.
SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 5. This Act shall take effect upon its approval.
INTRODUCED BY: |
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Report Title:
Group Life Insurance; Limits
Description:
Requires insurance commissioner approval of the issuance of group life insurance policies that cover other than the listed groups. Expands group disability insurance to include groups other than the listed groups.
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.