REPORT TITLE:
Motor Vehicle Insurance


DESCRIPTION:
Extends reporting date to the legislature and governor of motor
vehicle insurance benefits task force to June 30, 2000.  Requires
task force to balance maximum coverage and benefits for motor
vehicle accident victims with lowest possible cost for motor
vehicle insurance purchasers.  (SD1)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        957
THE SENATE                              S.B. NO.           S.D. 1
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO MOTOR VEHICLE INSURANCE. 


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

 1      SECTION 1.  The motor vehicle insurance benefits task force
 
 2 (task force) was created by Act 251, Session Laws of Hawaii 1997,
 
 3 which instituted major reforms to the no-fault system.  The task
 
 4 force was to review the motor vehicle insurance system and
 
 5 develop a comprehensive plan for reducing costs, paying for the
 
 6 cost of motor vehicle insurance or benefits, maximizing coverage
 
 7 and benefits, and alleviating the problem of uninsured motorists.
 
 8 The legislature finds that the task force has been studying
 
 9 issues such as pay-at-the-pump, twenty-four hour care, enforcing
 
10 uninsured motorist requirements, possible repeal of required
 
11 motor vehicle insurance, and repealing the requirement for
 
12 personal injury protection coverage, and needs more time to
 
13 complete its study and to make recommendations to the
 
14 legislature.  The legislature further finds that the State's
 
15 actuary cannot make an actuarial analysis of Act 251 until at
 
16 least eighteen months from the implementation of the Act, which
 
17 took effect January 1, 1998.
 
18      The purpose of this Act is to extend the date of the motor
 
19 vehicle insurance benefits task force for its report to the
 

 
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 1 legislature and the governor.
 
 2      SECTION 2.  Act 251, Session Laws of Hawaii 1997, is amended
 
 3 by amending section 65 to read as follows:
 
 4      "SECTION 65.  There is established a motor vehicle insurance
 
 5 benefits task force that shall be administratively attached to
 
 6 the insurance division of the department of commerce and consumer
 
 7 affairs.
 
 8      The task force shall consist of the following three members: 
 
 9      (1)  The insurance commissioner;
 
10      (2)  One person appointed by the governor from a list
 
11           submitted by the president of the senate; and
 
12      (3)  One person appointed by the governor from a list
 
13           submitted by the speaker of the house of
 
14           representatives.
 
15      If a vacancy occurs, the vacancy shall be filled for the
 
16 unexpired term in the same manner as the office was previously
 
17 filled.  The members shall serve without compensation but shall
 
18 be reimbursed for all necessary expenses.
 
19      The task force shall review the motor vehicle insurance
 
20 system and develop a comprehensive plan for:
 
21      (1)  Reducing costs;
 
22      (2)  Paying for the cost of motor vehicle insurance or
 
23           benefits;
 

 
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 1      (3)  Maximizing coverage and benefits for residents; [and]
 
 2      (4)  Balancing the maximum coverage and benefits for victims
 
 3           of motor vehicle accidents with the lowest possible
 
 4           cost for purchasers of motor vehicle insurance; and
 
 5      (5)  Alleviating the problem of uninsured motorists.
 
 6      In assisting the task force to carry out this section, the
 
 7 insurance commissioner may:
 
 8      (1)  Hire, without regard to chapters 76 and 77, Hawaii
 
 9           Revised Statutes, sufficient staff and retain, without
 
10           regard to chapter 103D, Hawaii Revised Statutes,
 
11           consultants or other persons to provide those services
 
12           deemed by the task force necessary to carry out its
 
13           function; and
 
14      (2)  Conduct informational hearings and compel, through the
 
15           issuance of subpoenas, the attendance of witnesses and
 
16           the production of documents and records.
 
17      The task force shall submit a progress report to the
 
18 legislature and the governor no later than twenty days prior to
 
19 the convening of the regular session of 1998 and a report of its
 
20 final recommendations to the legislature and the governor no
 
21 later than [twenty days prior to the convening of the regular
 
22 session of 1999.] June 30, 2000."
 
23      SECTION 3.  Session law material to be repealed is
 

 
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 1 bracketed.  New session law material is underscored.
 
 2      SECTION 4.  This Act shall take effect upon its approval.