STAND. COM. REP. NO.796

Honolulu, Hawaii

, 2003

RE: S.B. No. 614

S.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 614, S.D. 1, entitled:

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

begs leave to report as follows:

The purpose of this measure is to establish a health insurance fraud investigations unit within the Insurance Division of the Department of Commerce and Consumer Affairs.

The purpose of the unit is to investigate fraud relating to accident, health or sickness insurance, mutual benefit societies, and health maintenance organizations.

Furthermore, this measure also grants limited civil immunity to persons providing information, evidence, or testimony concerning health insurance fraud to the Insurance Commissioner or other specified entities.

Your Committee finds that this measure is modeled in part upon the insurance fraud provisions in the insurance code relating to motor vehicle insurance. Your Committee finds that insurance fraud has impacted not only the motor vehicle insurance industry, but the health insurance industry as well. Accordingly, your Committee finds that it is necessary to establish a fraud unit for health insurance.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 614, S.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

BRIAN T. TANIGUCHI, Chair