HB1050 amends Hawaii insurance law to change the filing schedule and enforcement language for quarterly net solvency reports submitted by domestic mutual benefit societies, health maintenance organizations (HMOs), and dental insurers. Under the bill, these entities must submit their reports to the insurance commissioner within 45 days after each of the first three calendar quarters, and for the fourth quarter by March 1 of the following year. The reports must be verified by at least two principal officers, and each entity must keep a current copy at its principal place of business.
The bill also clarifies the commissioner’s oversight authority. The commissioner may prescribe report forms and may order examinations to determine compliance. For mutual benefit societies and HMOs, the bill specifies daily penalties of no less than $100 and no more than $500 for failure or refusal to submit the required report for review. For dental insurers, the bill aligns the penalty language with existing statutory provisions by referencing the penalty section already applicable to that chapter. The act is set to take effect on July 1, 2050.
Impact
HB1050 updates Title 24 of the Hawaii Revised Statutes by revising reporting deadlines and compliance language in the statutes governing mutual benefit societies, HMOs, and dental insurers. It strengthens and standardizes solvency-report filing requirements, while preserving the insurance commissioner’s authority to review reports, require examinations, and enforce compliance through penalties. The bill affects regulated insurance entities and their reporting obligations, but does not create a new regulatory program.
Sentiment
The available voting history suggests the bill was received favorably, at least in the Senate Commerce and Consumer Protection Committee, where it passed 5-0 with amendments. No committee transcript is provided, so there is no recorded debate to indicate broader support or opposition. Overall, the bill appears to be a technical, noncontroversial insurance administration measure rather than a policy dispute.
Contention
The main points of potential contention are procedural rather than substantive: the revised timing for quarterly solvency reports, the requirement that reports be verified by two principal officers, and the daily penalty structure for noncompliance. Any concern would likely come from affected insurers and mutual benefit societies regarding administrative burden, compliance timing, or enforcement exposure. The bill’s amended language for dental insurers also suggests an effort to conform penalties to existing law, which may have been a drafting or consistency issue rather than a policy disagreement.
Article V Convention; process for appointing commissioners and alternate commissioners to represent the State of Alabama at Article V Convention established