Report Title:

Relating To Mandated Health Coverage

 

Description:

Repeals Hawaii's Mandated Health Coverage Act.

THE SENATE

S.B. NO.

441

TWENTY-SECOND LEGISLATURE, 2003

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

A BILL FOR AN ACT RELATING TO MANDATED HEALTH COVERAGE.

 

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

SECTION 1. The Prepaid Health Care Act was enacted in 1974 as a means to provide health care coverage to all of Hawaii's citizens through means of equal sharing of health care costs between an employee and the employer. However, skyrocketing health care costs have caused this benefit to put a strain on businesses, especially small businesses who often are forced to cut back an employee's hours or lay off employees as a means of reducing health care premium costs. Moreover, mandated health care coverage for numerous conditions have been passed since 1974, including 13 new mandates since 1998, adding to the burden on employers. Many of these mandates have also been passed without a review being conducted by the State Auditor and without knowledge of the implications of these mandated benefits.

SECTION 2. Notwithstanding any law to the contrary, Chapter 393, Hawaii Revised Statutes, is hereby repealed in its entirety.

[CHAPTER 393

PREPAID HEALTH CARE ACT

Part I. Short Title; Purpose; Definitions

Section

393-1 Short title

393-2 Findings and purpose

393-3 Definitions generally

393-4 Place of performance

393-5 Excluded services

393-6 Principal and secondary employer defined; coercion,

interference, etc. prohibited

393-7 Required health care benefits

Part II. Mandatory Coverage

393-11 Coverage of regular employees by group prepaid health

care plan

393-12 Choice of plan type and of contractor

393-13 Liability for payment of premium; withholding;

recovery of premium

393-14 Commencement of coverage

393-15 Continuation of coverage in case of inability to earn

wages

393-16 Liability of secondary employer

393-17 Exemption of certain employees

393-18 Termination of exemption

393-19 Freedom of collective bargaining

393-20 Adjustment of employer-sponsored plans

393-21 Individual waivers; additional withholding for

dependents

393-22 Exemption of followers of certain teachings of beliefs

393-23 Joint provision of coverage

393-24 Noncomplying employer held liable for employee's

health care costs

Part III. Administration and Enforcement

393-31 Enforcement by the director

393-32 Rulemaking and other powers of the director

393-33 Penalties; injunction

393-34 Penalties

Part IV. Premium Supplementation

393-41 Establishment of special premium supplementation fund

393-42 Management of the fund

393-43 Disbursements from the fund

393-44 Investment of moneys

393-45 Entitlement to premium supplementation

393-46 Income directly attributable to the business

393-47 Claim of premium supplementation

393-48 Prepaid health care benefits to be paid from the

premium supplementation fund; recovery of benefits

Part V. Termination of Chapter

393-51 Termination of chapter]

SECTION 4. Statutory material to be repealed is bracketed and stricken.

SECTION 5. This Act shall take effect on January 1, 2004.

INTRODUCED BY:

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