STAND. COM. REP. NO.236

Honolulu, Hawaii

, 2001

RE: H.B. No. 594

H.D. 1

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Consumer Protection and Commerce, to which was referred H.B. No. 594 entitled:

"A BILL FOR AN ACT RELATING TO CONTINUING EDUCATION COURSES AND COURSE PROVIDERS FOR INSURANCE LICENSEES,"

begs leave to report as follows:

The purpose of this bill is to:

(1) Authorize the Insurance Commissioner (Commissioner) and the Department of Commerce and Consumer Affairs (DCCA) to collect fees for issuing approved continuing education course and approved course provider certificates, and for other related services;

(2) Amend the definitions of "approved continuing education course" and "approved course provider" to specify that these courses and providers must meet requirements specified in DCCA rules; and

(3) Provide that approved continuing education course providers must submit course completion information to DCCA by electronic means.

Testimony in support of this bill was received from the Commissioner, Hawaii Independent Insurance Agents Association, and Association of Insurance and Financial Advisors.

Your Committee finds that implementing the continuing education requirement for insurance licensees will consume a significant amount of resources and that the proposed assessments will offset this cost. In addition, requiring course providers to verify that a licensee has completed the continuing education course by electronic means will promote a paperless system and increase efficiency and timeliness in processing license renewals.

Your Committee has removed the amendments to the definitions of "approved continuing education provider" and "approved continuing education course," consistent with the Commissioner's testimony that rules establishing requirements for courses and providers will not be completed by the time this measure becomes effective.

Your Committee has further amended this bill by making technical, nonsubstantive amendments for purposes of style, clarity, and consistency.

As affirmed by the record of votes of the members of your Committee on Consumer Protection and Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 594, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 594, H.D. 1, and be referred to the Committee on Finance.

 

Respectfully submitted on behalf of the members of the Committee on Consumer Protection and Commerce,

____________________________

KENNETH T. HIRAKI, Chair