STAND. COM. REP. NO.  517-20

 

Honolulu, Hawaii

                , 2020

 

RE:   H.B. No. 1808

      H.D. 2

 

 

 

 

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

 

Sir:

 

     Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 1808, H.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO MOTOR VEHICLES,"

 

begs leave to report as follows:

 

     The purpose of this measure is to establish an expedited process for addressing salvaged vehicles by allowing county directors of finance to issue certificates of ownership and salvage certificates to insurance companies, with certain conditions.

 

     Your Committee received testimony in support of this measure from Insurance Auto Auctions, Inc.  Your Committee received comments on this measure from the Department of Commerce and Consumer Affairs and Hawaii Insurers Council.

 

     Your Committee finds that abandoned vehicles are unnecessarily accumulating at salvage facilities as a result of owners filing claims with insurance companies and then abandoning the vehicle without completing a title transfer.  This measure establishes an expedited process to assist in the transition of ownership of salvaged vehicles between policyholders and insurers.

 

     Your Committee has amended this measure by:

 

     (1)  Specifying that the insurance company shall indemnify and hold harmless the county directors of finance from all civil liability resulting from the issuance of the certificate of ownership or salvage certificate, with limited exception;

 

     (2)  Deleting a provision that would conflict with state insurance laws governing total loss motor vehicle claims; and

 

     (3)  Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

 

     As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1808, H.D. 1, as amended herein, and recommends that it be referred to your Committee on Finance in the form attached hereto as H.B. No. 1808, H.D. 2.

 

 

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

 

 

 

 

____________________________

ROY M. TAKUMI, Chair