STAND. COM. REP. NO.  1304

Honolulu, Hawaii

                , 2009

RE:   S.B. No. 940

      S.D. 1

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Sir:

     Your Committee on Health, to which was referred S.B. No. 940, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO INSURANCE,"

begs leave to report as follows:

     The purpose of this bill is to ease financial burdens incurred by the State from the cost of collection services to collect payment from patients whose health insurance companies do not have a contract with the Department of Health (DOH) by requiring the insurance company to provide direct payment for the provision of pre-hospital ambulance treatment and transport services.

     DOH and the Department of Commerce and Consumer Affairs supported this bill.  Hawaii Medical Service Association opposed this measure.

     Your Committee has amended this bill by:

(1)  Requiring insurance entities contracting with the State to provide Medicaid coverage to enter into written contracts with a minimum of 50 percent of hospitals and providers in their coverage area;

(2)  Changing the effective date to July 1, 2020, to encourage further discussion; and

(3)  Making technical, nonsubstantive changes for clarity, consistency, and style.

     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. 940, S.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 940, S.D. 1, H.D. 1, and be referred to the Committee on Consumer Protection & Commerce.

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

____________________________

RYAN I. YAMANE, Chair