Motor Vehicle Insurance

Clarifies the motor vehicle insurers' rights relating to
independent medical examinations and caps medical fees for the
examinations at $400.  Limits collection of any arbitration award
to the applicable liability policy limit.  Excludes motorcyclists
from entitlement to personal injury protection benefits.

THE SENATE                              S.B. NO.           2733
TWENTIETH LEGISLATURE, 2000                                
STATE OF HAWAII                                            

                   A  BILL  FOR  AN  ACT



 1      SECTION 1.  Section 431:10C-103.5, Hawaii Revised Statutes,
 2 is amended to read as follows:
 3      "431:10C-103.5  Personal injury protection benefits;
 4 defined; limits.(a)  Personal injury protection benefits, with
 5 respect to any accidental harm, means all appropriate and
 6 reasonable treatment and expenses necessarily incurred as a
 7 result of the accidental harm and which are substantially
 8 comparable to the requirements for prepaid health care plans,
 9 including medical, hospital, surgical, professional, nursing,
10 advanced practice nursing recognized pursuant to chapter 457,
11 dental, optometric, chiropractic, ambulance, prosthetic services,
12 products and accommodations furnished, x-ray, psychiatric,
13 physical therapy pursuant to prescription by a medical doctor,
14 occupational therapy, rehabilitation, and therapeutic massage by
15 a licensed massage therapist when prescribed by a medical doctor.
16      (b)  Personal injury protection benefits, when applied to a
17 motor vehicle insurance policy issued at no cost under section
18 431:10C-410(3)(A), shall not include benefits under subsection
19 (a) for any person receiving public assistance benefits.

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                                     S.B. NO.           2733

 1      (c)  Personal injury protection benefits shall be subject to
 2 an aggregate limit of $10,000 per person for services provided
 3 under this section.  An insurer may offer additional coverage in
 4 excess of the $10,000 aggregate limit for services provided under
 5 this section, or as provided by rule of the commissioner.
 6      (d)  An insurer providing personal injury protection
 7 benefits may require the claimant to submit to an independent
 8 medical examination when reasonably necessary.  Any dispute
 9 regarding the necessity or selection of an independent medical
10 examiner may be submitted to arbitration under section 431:10C-
11 213."
12      SECTION 2.  Section 431:10C-213.5, Hawaii Revised Statutes,
13 is amended by amending subsection (f) to read as follows:
14      "(f)  [Any] Collection of any arbitration award issued under
15 this section shall be limited to the applicable liability policy
16 limit, unless the insured tortfeasor otherwise agrees."
17      SECTION 3.  Section 431:10C-303, Hawaii Revised Statutes, is
18 amended to read as follows:
19      "431:10C-303  Right to personal injury protection benefits.
20 (a)  If the accident causing accidental harm occurs in this
21 State, every person insured under this article, and such person's
22 survivors, suffering loss from accidental harm arising out of the
23 operation, maintenance, or use of a motor vehicle, has a right to

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                                     S.B. NO.           2733

 1 personal injury protection benefits.
 2      (b)  If the accident causing accidental harm occurs outside
 3 this State, the following persons and their survivors suffering
 4 loss from accidental harm arising out of the operation,
 5 maintenance, or use of a motor vehicle, have a right to personal
 6 injury protection benefits as defined in section
 7 431:10C-103.5(a):
 8      (1)  Insureds as defined in section 431:10C-103; and
 9      (2)  The driver and other occupants of an insured vehicle,
10           other than a vehicle which is regularly used in the
11           course of the business of transporting persons or
12           property and which is one of five or more vehicles
13           under common ownership.
14      (c)  This section shall not apply to operators or passengers
15 of motorcycles or motor scooters."
16      SECTION 4.  Section 431:10C-308.5, Hawaii Revised Statutes,
17 is amended by amending subsection (b) to read as follows:
18      "(b)  The charges and frequency of treatment for services
19 specified in section 431:10C-103.5(a), except for emergency
20 services provided within seventy-two hours following a motor
21 vehicle accident resulting in injury, shall not exceed the
22 charges and frequency of treatment permissible under the workers'
23 compensation schedules.  Charges for independent medical

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                                     S.B. NO.           2733

 1 examinations, including record reviews, physical examinations,
 2 history taking, and reports, to be conducted by a licensed Hawaii
 3 provider unless the insured consents to an out-of-state provider,
 4 shall not exceed [the charges permissible under the workers'
 5 compensation schedules for consultation for a complex medical
 6 problem.  The workers' compensation schedules shall not apply to
 7 independent medical examinations conducted by out-of-state
 8 providers; provided that the charges for the examination are
 9 reasonable.] $400.  All records and charges relating to an
10 independent medical examination shall be made available to the
11 claimant upon request.  The commissioner may adopt administrative
12 rules relating to fees or frequency of treatment for injuries
13 covered by personal injury protection benefits.  If adopted,
14 these administrative rules shall prevail to the extent that they
15 are inconsistent with the workers' compensation schedules."
16      SECTION 5.  Statutory material to be repealed is bracketed.
17 New statutory material is underscored.
18      SECTION 6.  This Act shall take effect upon its approval.
20                              INTRODUCED BY:______________________