STAND. COM. REP. NO. 2620

Honolulu, Hawaii

RE:    S.B. No. 2798

       S.D. 1

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii

Sir:

     Your Committee on Commerce and Consumer Protection, to which was referred S.B. No. 2798, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO INSURER REQUIREMENTS,"

begs leave to report as follows:

     The purpose and intent of this measure is to require all commercial health care insurers operating in Hawaii to share with the Department of Human Services a listing of the insurers' members in order to make determinations regarding Medicaid eligibility.

     Your Committee received testimony in support of this measure from the Department of Human Services.  Your Committee received testimony in opposition to this measure from the Hawaii Association of Health Plans.  Your Committee received comments on this measure from the Hawaii Medical Service Association.

     Your Committee finds that this measure requires health care insurers in Hawaii to share a listing of their members on a quarterly basis.  This will enable the Department of Human Services to determine Medicaid eligibility and continuing eligibility for Medicaid recipients on a timely basis.  Your Committee notes that once the Department of Human Services has converted its eligibility system to an electronic format, it will be easier and more efficient for the Department of Human Services to work with the health plan to access the necessary member information.

     As affirmed by the record of votes of the members of your Committee on Commerce and Consumer Protection that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2798, S.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Commerce and Consumer Protection,

____________________________

ROSALYN H. BAKER, Chair