STAND. COM. REP. NO. 532-18

Honolulu, Hawaii

, 2018

RE: H.B. No. 2208

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 Health & Human Services, to which was referred H.B. No. 2208 entitled:

"A BILL FOR AN ACT RELATING TO ASSOCIATION HEALTH PLANS,"

begs leave to report as follows:

The purpose of this measure is to require association health plan policies to comply with the laws of this State regardless of the association's domicile. This measure also enables certain voluntary associations, including employer associations that issue association health plans, to qualify for authorization to transact insurance in the State of Hawaii.

The Insurance Division of the Department of Commerce and Consumer Affairs, Hawaii Medical Service Association, and Kaiser Permanente Hawaii provided comments on this measure.

Your Committee notes that the United States Department of Labor issued a proposed rule on January 5, 2018, to expand access to association health plans, see 29 C.F.R. Part 2510. The proposed rule warrants a review to promote further discussions among the stakeholders.

Your Committee has amended this measure by changing its effective date to July 1, 3000.

As affirmed by the record of votes of the members of your Committee on Health & Human Services that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2208, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2208, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committee on Health & Human Services,

____________________________

JOHN M. MIZUNO, Chair