STAND. COM. REP. NO. 296-18

Honolulu, Hawaii

, 2018

RE: H.B. No. 1876

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 1876 entitled:

"A BILL FOR AN ACT RELATING TO MOTOR VEHICLE INSURANCE,"

begs leave to report as follows:

The purpose of this measure is to allow motor vehicle insurers to satisfy the requirement that insurers provide a complete sales and claims office in the State by allowing the insurer's licensed producer to establish and maintain a sales and claims office.

The Insurance Division of the Department of Commerce and Consumer Affairs testified in opposition of this measure. State Farm Mutual Automobile Insurance Company provided comments.

Your Committee has amended this measure by clarifying that licensed producers of motor vehicle insurers are able to satisfy the physical sales and claims service office requirement for insurers by establishing and maintaining an office in the State.

As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1876, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1876, H.D. 1, and be referred to your Committee on Finance.

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

____________________________

ROY M. TAKUMI, Chair