REPORT TITLE:
Captive Insurance


DESCRIPTION:
Requires the insurance commissioner to transfer up to a specified
percentage of moneys in the captive insurance administrative fund
to the insurance regulation fund to be used to promote Hawaii as
a captive insurance domicile.  (SD2)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        2561
THE SENATE                              S.B. NO.           S.D. 2
TWENTIETH LEGISLATURE, 2000                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO INSURANCE.



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

 1      SECTION 1.  Section 431:19-101.8, Hawaii Revised Statutes,
 
 2 is amended by amending subsection (b) to read as follows:
 
 3      "(b)  All premium taxes collected from captive insurance
 
 4 companies licensed in this State under this article, all captive
 
 5 insurance company application fees, annual license fees, and
 
 6 examination fees collected pursuant to this article shall be
 
 7 credited to the captive insurance administrative fund.  Each
 
 8 fiscal year, the commissioner shall transfer out of the fund and
 
 9 deposit into the insurance regulation fund a total of forty per
 
10 cent of the total moneys credited to the fund in the prior fiscal
 
11 year or $250,000, whichever is greater, to pay for the
 
12 expenditures contemplated by this section.  In addition, each
 
13 fiscal year, the commissioner shall transfer out of the fund and
 
14 deposit into the insurance regulation fund up to ten per cent of
 
15 the total moneys credited to the fund in the prior fiscal year
 
16 for purposes of promoting Hawaii as a captive insurance domicile.
 
17 Disbursements for promotional activities from the insurance
 
18 regulation fund shall be subject to the approval of the director
 
19 of commerce and consumer affairs.  Subject to the foregoing
 

 
Page 2                                                     2561
                                     S.B. NO.           S.D. 2
                                                        
                                                        

 
 1 expenditure [limit,] limits, all moneys remaining in the fund
 
 2 shall revert to the general fund."
 
 3      SECTION 2.  Statutory material to be repealed is bracketed.
 
 4 New statutory material is underscored.
 
 5      SECTION 3.  This Act shall take effect upon its approval.