STAND. COM. REP. NO.1140-02

Honolulu, Hawaii

, 2002

RE: S.B. No. 3040

S.D. 2

H.D. 2

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-First State Legislature

Regular Session of 2002

State of Hawaii

Sir:

Your Committee on Judiciary and Hawaiian Affairs, to which was referred S.B. No. 3040, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO CAPTIVE INSURANCE,"

begs leave to report as follows:

The purpose of this measure is to ensure confidentiality of certain information submitted to the Insurance Commissioner in connection with captive insurance companies domiciled in Hawaii, unless the Insurance Commissioner deems disclosure necessary.

Your Committee received testimony in support of this measure from the Department of Commerce and Consumer Affairs, Bank of Hawaii, and Chair of the Hawaii Captive Insurance Council. The Office of Information practices provided testimony in opposition to this bill.

Your Committee finds that disclosure of proprietary information related to captive insurance programs may enable competitors to gain an unwarranted business advantage, and that the Insurance Commissioner is in the best position to assess whether disclosure serves the public interest.

Your Committee has amended this measure by:

(1) Adding that disclosure may be made to courts of competent jurisdiction; and

(2) Clarifying the definition of "nonpublic information."

As affirmed by the record of votes of the members of your Committee on Judiciary and Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3040, S.D. 2, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 3040, S.D. 2, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Judiciary and Hawaiian Affairs,

 

____________________________

ERIC G. HAMAKAWA, Chair