Report Title:

Insurance Fraud Investigation

Description:

Provides civil immunity to certain persons giving suspected insurance fraud information to the proper authorities.

THE SENATE

S.B. NO.

2006

TWENTY-SECOND LEGISLATURE, 2004

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO INSURANCE FRAUD INVESTIGATION.

 

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

SECTION 1. Section 431:2-301.8, Hawaii Revised Statutes, is amended to read as follows:

"[[]431:2-301.8[]] Immunity from liability. (a) No cause of action shall arise nor shall any liability be imposed against any examiner appointed by the commissioner for any statements made or conduct performed in good faith while carrying out the provisions of the insurance code.

(b) No cause of action shall arise, nor shall any liability be imposed against any person, for the act of communicating or delivering information or data to the commissioner or the commissioner's authorized representative or examiner pursuant to an examination made under the insurance code, if the act of communication or delivery was performed in good faith and without fraudulent intent or the intent to deceive.

(c) This section does not abrogate nor modify in any way common law or statutory privilege or immunity heretofore enjoyed by any person identified in subsection (a).

(d) A person identified in subsection (a) shall be entitled to an award of attorneys' fees and costs if the person is the prevailing party in a civil cause of action for libel, slander, or any other relevant tort arising out of activities in carrying out the insurance code, and the party bringing action is not substantially justified to do so. For the purposes of this section, a proceeding is substantially justified if it has a reasonable basis in law or fact at the time that it is initiated.

(e) Civil immunity shall be afforded to a person who, without malice and without committing perjury, provides information to a court, the commissioner, insurance investigations unit, National Association of Insurance Commissioners, any federal, state, or county law enforcement or regulatory agency, or another insurer, solely for the purposes of preventing, investigating, or prosecuting insurance fraud. The information provided may include but not be limited to filing a report, furnishing oral or written evidence, providing documents, or giving testimony concerning suspected, anticipated, or completed public or private insurance fraud."

SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 3. This Act shall take effect upon its approval.

INTRODUCED BY:

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