STAND. COM. REP. NO. 381

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.B. No. 1131
                                        




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Commerce and Consumer Protection, to which
was referred S.B. No. 1131 entitled: 

     "A BILL FOR AN ACT RELATING TO INSURANCE,"

begs leave to report as follows:

     The purpose of this measure is to increase mandatory insurer
contributions to the Insurance Examiners Revolving Fund (IERF)
and to remove the sunset date of the fund.

     The Insurance Commissioner presented testimony in support of
this measure.

     Your Committee finds that pursuant to Act 116, Session Laws
of Hawaii 1998, four general fund positions were transferred to
the IERF.  This measure would allow the Insurance Division to
collect fees to meet the added expenses of these four positions.

     Your Committee further finds that it is necessary to remove
the sunset date of the IERF in order to assist the Division's
effort in becoming independent of general funding.

     As affirmed by the record of votes of the members of your
Committee on Commerce and Consumer Protection that is attached to
this report, your Committee is in accord with the intent and
purpose of S.B. No. 1131 and recommends that it pass Second
Reading and be referred to the Committee on Ways and Means.


 
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                                   STAND. COM. REP. NO. 381
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                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Commerce and
                                   Consumer Protection,



                                   ______________________________
                                   BRIAN KANNO, Co-Chair



                                   ______________________________
                                   BRIAN T. TANIGUCHI, Co-Chair

 
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