SR121

WHEREAS, according to the National Institutes of Health, about one-third of Americans between the ages of sixty-five and seventy-five, and approximately one-half of those older than seventy-five, have some degree of hearing loss; and

WHEREAS, one digital hearing aid can cost $3,000 or more, and because about fifty percent of childhood hearing loss is due to genetic causes, more than one member in a family may need to wear hearing aids, thereby multiplying the financial burden of purchasing hearing aids; and

WHEREAS, while most health insurance plans in Hawaii cover the purchase of hearing aids, the amount of coverage may be low, leaving the patient with a large copayment; and

WHEREAS, it is not unusual for people with hearing loss to choose to delay or forgo the purchase of hearing aids because they are unable to pay for them; and

WHEREAS, pursuant to section 23-51, Hawaii Revised Statutes, before any legislative measure that mandates health insurance coverage for specific health services, specific diseases, or certain providers of health care services as part of individual or group health insurance policies can be considered, there shall be a concurrent resolution passed that designates a specific legislative measure for the Auditor to review and on which to prepare a report for submission to the Legislature that assesses both the social and financial effects of the proposed mandated coverage; and

WHEREAS, the Legislature adopted S.C.R. No. 34, S.D. 1 (2014), which requested the Auditor to assess the social and financial effects of mandating health insurance coverage for hearing aids, as proposed in S.B. No. 309, S.D. 1 (2014); and

WHEREAS, pursuant to Report No. 14-10, dated October 2014, the Auditor determined that S.B. No. 309, S.D. 1 (2014), lacked certain coverage parameters, including the frequency for replacement or costs to be covered by insurers for hearing aids; and

WHEREAS, in response to the Auditor's report, S.B. No. 2439, S.D. 2 (2022)(S.B. No. 2439), proposed a minimum coverage benefit of $1,500 per hearing aid for each hearing-impaired ear every thirty-six months; and

WHEREAS, the Legislature adopted S.C.R. No. 61, S.D. 1, H.D. 1 (2022), which requested the Auditor to perform a social and financial assessment of mandatory health insurance coverage for hearing aids as proposed in S.B. No. 2439, as required by section 23-51, Hawaii Revised Statutes; and

WHEREAS, the Office of the Auditor ceased work on its assessment of S.B. No. 2439, pursuant to communication from the Legislature's Kupuna Caucus that the assessment was unnecessary; and

WHEREAS, relevant stakeholders, including the legislator who introduced the measure or the Deaf and Blind Task Force, were not consulted on the reasoning for the Auditor's ceasing work on the assessment of S.B. No. 2439; and

WHEREAS, S.B. No. 1494, introduced during the Regular Session of 2025, contains specific coverage parameters that requires health insurers, mutual benefit societies, and health maintenance organizations to provide coverage for hearing aids, subject to a minimum benefit of $1,500 per hearing-impaired ear every thirty-six months; and

WHEREAS, pursuant to section 23-51, Hawaii Revised Statutes, an updated social and financial assessment by the Auditor analyzing the specific, mandatory health insurance coverage parameters proposed in S.B. No. 1494, Regular Session of 2025, is warranted; now, therefore,

BE IT RESOLVED by the Senate of the Thirty-third Legislature of the State of Hawaii, Regular Session of 2025, that the Auditor is requested to conduct an assessment, pursuant to sections 23-51 and 23-52, Hawaii Revised Statutes, of the social and financial effects of mandating health insurance coverage for hearing aids, as proposed in S.B. No. 1494, which was introduced during the Regular Session of 2025; and

BE IT FURTHER RESOLVED that the Auditor is requested to include the following as part of the assessment:

(1) The number of residents in the State in the target population who suffer hearing loss based on national prevalence rates, to determine who may be impacted by the cost of hearing aids;

(2) A determination of the current standard for frequency of replacement of hearing aids and the cost limitations, if any, placed on the hearing aid coverage benefit, by researching public and private entities that provide coverage for hearing aids, including but not limited to Medicare, Medicaid, health plans in Hawaii, and individuals who need, use, or otherwise experience the need for hearing aids;

(3) Whether different standards for frequency of replacement are applied to adults in comparison to minors in need of hearing aids;

(4) An examination of the existing medically necessary standards of care used to determine what type of hearing aid best suits an individual with hearing loss; and

(5) An examination of the existing technology in hearing aids and possible future technology; and

BE IT FURTHER RESOLVED that the Auditor is requested to adhere to any request for a social and financial effect assessment pursuant to the passage of a Concurrent Resolution and disregard requests to cease the assessment by any individual or entity other than the Legislature acting as a whole; and

BE IT FURTHER RESOLVED that the Auditor is requested to submit a report of its findings and recommendations, including any proposed legislation and updates to Report No. 14-10, to the Legislature no later than twenty days prior to the convening of the Regular Session of 2026; and

BE IT FURTHER RESOLVED that certified copies of this Resolution be transmitted to the Auditor and Insurance Commissioner.

	OFFERED BY:	_____________________________

Report Title:

Hearing Aids; Auditor to Assess Effects

THE SENATE	S.R. NO.	121
THIRTY-THIRD LEGISLATURE, 2025
STATE OF HAWAII