STAND. COM. REP. NO.  902

Honolulu, Hawaii

                , 2015

RE:   H.B. No. 1467

      H.D. 2

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No. 1467, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO THE HAWAII HEALTH CONNECTOR,"

begs leave to report as follows:

The purpose of this measure is to amend policy and insurer requirements for the Hawaii Health Connector (the Connector) by, among other things:

     (1)  Authorizing the Connector to offer large group coverage to insurers, beginning January 1, 2017;

     (2)  Requiring insurers with a small group market share that exceeds twenty percent of the State's market to offer specified gold and platinum level qualified health plans coverage through the Connector;

     (3)  Encouraging full participation in the Connector by prohibiting the issuance of transitional renewal policies beginning January 1, 2016, and expanding notice requirements for group health plans offering continuation coverage;

     (4)  Expanding the small business market in the Connector by increasing the maximum number of employees to qualify as a "small employer" from 50 to 100, pursuant to federal law; and

     (5)  Requiring health insurers offering qualified plans to offer federally-qualified health centers the opportunity to contract for services covered by the qualified plan.

Hawaii Primary Care Association supported this measure.  The Chamber of Commerce of Hawaii and Hawaii Medical Service Association opposed this measure.  The Department of Commerce and Consumer Affairs and the Hawaii Health Connector commented on this measure.

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1467, H.D. 2, and recommends that it pass Third Reading.

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

____________________________

SYLVIA LUKE, Chair