STAND. COM. REP. NO.  55

Honolulu, Hawaii

                , 2015

RE:   H.B. No. 737

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Sir:

     Your Committee on Public Safety, to which was referred H.B. No. 737 entitled:

"A BILL FOR AN ACT RELATING TO PROPERTY INSURANCE,"

begs leave to report as follows:

The purpose of this measure is to authorize the Hawaii Property Insurance Association to:

(1)  Expend funds in the Hawaii Hurricane Relief Fund to pay for extraordinary losses caused by the flow of lava or other volcanic activity; and

(2)  Reduce assessments to its members from the Hawaii Hurricane Relief Fund.

The Hawaiian Shores Community Association and several concerned individuals supported this measure.  The Hawaii Hurricane Relief Fund and the Hawaii Independent Insurance Agents Association opposed this measure.  The Department of Budget and Finance and a concerned individual offered comments on this measure.  

     Your Committee has amended this measure by:

     (1)  Changing its effective date to July 1, 2020, to promote further discussion; and

     (2)  Making technical, nonsubstantive amendments for clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Public Safety that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 737, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 737, H.D. 1, and be referred to the Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committee on Public Safety,

____________________________

GREGG TAKAYAMA, Chair