REPORT TITLE:
Insurance exemption


DESCRIPTION:
Exempts health insurance offered under federally funded programs
under the Social Security Act, as amended, by insurers, mutual
benefit societies, and health maintenance organizations, from
mandated coverage requirements.  (SB528 HD1)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        528
THE SENATE                              S.B. NO.           S.D. 2
TWENTIETH LEGISLATURE, 1999                                H.D. 1
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO HEALTH INSURANCE.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  Chapter 431, Hawaii Revised Statutes, is amended
 
 2 by adding a new section to article 10A be appropriately
 
 3 designated and to read as follows:
 
 4      "�431:10A-     Federally funded programs; exemption.
 
 5 Requirements relating to mandated coverages shall not be
 
 6 applicable to any insurer offering health insurance under a
 
 7 federally funded program under the Social Security Act, as
 
 8 amended; provided that this exemption shall apply only to that
 
 9 part of the insurer's business under the federally funded
 
10 program."
 
11      SECTION 2.  Chapter 432, Hawaii Revised Statutes, is amended
 
12 by adding a new section to article 1 to be appropriately
 
13 designated and to read as follows:
 
14      "�432:1-     Federally funded programs; exemption.
 
15 Requirements relating to mandated coverages shall not be
 
16 applicable to any mutual benefit society offering health
 
17 insurance under a federally funded program under the Social
 
18 Security Act, as amended; provided that this exemption shall
 
19 apply only to that part of the mutual benefit society's business
 
20 under the federally funded program."
 

 
Page 2                                                     528
                                     S.B. NO.           S.D. 2
                                                        H.D. 1
                                                        

 
 1      SECTION 3.  Chapter 432D, Hawaii Revised Statutes, is
 
 2 amended by adding a new section to be appropriately designated
 
 3 and to read as follows:
 
 4      "�432D-     Federally funded programs; exemption.
 
 5 Requirements relating to mandated coverages shall not be
 
 6 applicable to any health maintenance organization offering health
 
 7 insurance under a federally funded program under the Social
 
 8 Security Act, as amended; provided that this exemption shall
 
 9 apply only to that part of the health maintenance organization's
 
10 business under the federally funded program."
 
11      SECTION 4.  New statutory material is underscored.
 
12      SECTION 5.  This Act shall take effect ______________.