STAND. COM. REP. NO. 109-22

Honolulu, Hawaii

, 2022

RE: H.B. No. 1619

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Transportation, to which was referred H.B. No. 1619 entitled:

"A BILL FOR AN ACT RELATING TO PEER-TO-PEER CAR-SHARING INSURANCE REQUIREMENTS,"

begs leave to report as follows:

The purpose of this measure is to, beginning July 1, 2023, establish peer-to-peer car-sharing insurance requirements.

Your Committee received testimony in support of this measure from the Department of Transportation, Hawaii Insurers Council, GEICO, and American Property Casualty Insurance Association. Your Committee received testimony in opposition to this measure from the Hawaii Association for Justice and Avail. Your Committee received comments on this measure from the Department of Commerce and Consumer Affairs and Turo.

Your Committee finds that peer-to-peer car sharing has emerged as a new car sharing model in the rental car marketplace, allowing vehicle owners to rent out their vehicles directly to consumers through online platforms. However, peer-to-peer car-sharing programs do not have established requirements for insurance coverage. This measure ensures that vehicles in these car sharing programs are properly insured specifically for peer-to-peer car-sharing purposes.

Your Committee has amended this measure by:

(1) Clarifying the definition of "car-sharing termination time";

(2) Deleting language that would have led to unintended gaps in insurance coverage due to general business use;

(3) Changing the effective date to July 1, 2050, to encourage further discussion; and

(4) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Transportation that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1619, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1619, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

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

____________________________

HENRY J.C. AQUINO, Chair