CONFERENCE COMMITTEE REPORT NO. 159

                            Honolulu, Hawaii
                                            , 1999

                            RE:   S.B. No. 830
                                  S.D. 1
                                  H.D. 2
                                  C.D. 1




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

Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Conference on the disagreeing vote of the
Senate to the amendments proposed by the House of Representatives
in S.B. No. 830, S.D. 1, H.D. 2, entitled:  

     "A BILL FOR AN ACT RELATING TO HEALTH INSURANCE
     REIMBURSEMENT," 

having met, and after full and free discussion, has agreed to
recommend and does recommend to the respective Houses the final
passage of this bill in an amended form.

     The purpose of this measure is to require health insurers,
mutual benefit societies, and health maintenance organizations to
reimburse providers and patients within a specified time period.

     Upon further consideration, your Committee on Conference has
amended this measure by:

     (1)  Deleting the findings paragraph in section 1;


 
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     (2)  Adding dental service corporations under chapter 423,
          Hawaii Revised Statutes, to the providers covered by
          this measure;

     (3)  Specifying that unless shorter payment timeframes are
          otherwise specified in a contract the entity must
          reimburse an uncontested claim within thirty calendar
          days of receiving the claim;

     (4)  Specifying that the entity notifies the healthcare
          provider in writing or electronically if a claim is
          contested or denied;

     (5)  Adding the provision that any interest accrued on
          delayed claims is added to the amount of the unpaid
          claim;

     (6)  Deleting language that authorizes the Insurance
          Commissioner to suspend the accrual of interest on
          untimely claims payments if the failure to pay a claim
          was necessary to protect the solvency of the insurer;

     (7)  Making the effective date July 1, 2000, and repealing
          the measure on July 1, 2002; and

     (8)  Making technical, nonsubstantive changes for the
          purpose of clarity and style.

     Your Committee on Conference is in accord with the intent
and purpose of S.B. No. 830, S.D. 1, H.D. 2, as amended herein,
and recommends that it pass Final Reading in the form attached
hereto as S.B. No. 830, S.D. 1, H.D. 2, C.D. 1.

                                   Respectfully submitted,

MANAGERS ON THE PART OF THE        MANAGERS ON THE PART OF THE
            HOUSE                             SENATE
                                   
                                   
                                   
______________________________     ______________________________
MARILYN B. LEE, Co-Chair           BRIAN T. TANIGUCHI, Co-Chair
                                   
                                   
                                   
______________________________     ______________________________
BOB NAKASONE, Co-Chair             BRIAN KANNO, Co-Chair

 
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______________________________     ______________________________
NESTOR R. GARCIA, Member           ROBERT BUNDA, Member
                                   
                                   
                                   
______________________________     ______________________________
NATHAN SUZUKI, Member              LES IHARA, JR., Member



______________________________
PAUL WHALEN, Member

 
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