NOTICE OF PUBLIC HEARING
Pursuant to Hawaii Revised Statutes (HRS) section 431:2-201 and chapter 91, notice is hereby given that the Insurance Division (Division\u201D) will hold a public hearing on Wednesday, January 16, 2008, at 2:00 p.m., in the Queen Liliuokalani Conference Room, First Floor, King Kalakaua Building, Department of Commerce and Consumer Affairs, 335 Merchant Street, Honolulu, Hawaii, to hear all persons interested in the proposed amendments and compilation of Hawaii Administrative Rules (HAR) Chapter 16-171 entitled \u201DMiscellaneous Insurance Rules.\u201D
The purposes of the proposed amendments to this chapter are as follows:
1. Subchapter 2 – Health Provisions (AMENDED)
Subchapter 2 is being amended to provide rules for new statutory authority relating to health care rate regulation contained in HRS Chapter 431:14G, Health Insurance Rate Regulation (Act 175, Session Laws of Hawaii (SLH) 2007). One of the rules, §16-171-201, Disclosure to Employee or Authorized Representative, is being proposed to be amended to make clear that proprietary information is protected from disclosure.
II. Subchapter 5 – Preferred Mortality Tables for use in Determining Minimum
Reserve Liabilities (NEW)
The National Association of Insurance Commissioners (NAIC) adopted new mortality tables for use by the states (Model Regulation Permitting the Recognition of Preferred Mortality Tables for use in Determining Minimum Reserve Liabilities). These new tables will allow insurers to charge more accurate premium for coverages.
III. Subchapter 6 Military Sales Practices (NEW)
Act 233, SLH 2007, took effect on July 1, 2007. Act 233 adopted the federal Military Personnel Financial Services Protection Act which required all states to enact (Public Law 109-290). The State is enacting Public Law 109-290 through HRS §431:2-201.8, Sales to Members of the Armed Forces, which was in Part 1 of Act 233. The federal Act also required all states to adopt rules to govern life insurance sales to military personnel. The NAIC adopted Military Sales Practices Model Regulation in 2007 in response to Public Law 109-270. This model regulation prohibits certain practices when producers are making sales of life instruments to active duty military personnel and to clarify procedures and requirements of insurers when payments of claims are made to third-party claimants\u2019 attorneys.
All interested persons shall be afforded the opportunity to submit data, views, or arguments, orally or in writing, to the Insurance Division at the time of hearing. All written and oral submissions regarding the proposed rules shall be fully considered. All persons wishing to submit written testimony are requested to submit 10 copies of their written testimony by Wednesday, January 9, 2008, to the Insurance Division at the address noted below.
A copy of the proposed rules will be mailed to any interested person who requests a copy and pays the Insurance Divisions required fee of $4.00 for the copy and postage. Please submit your request to the Insurance Division at the address noted below or contact the Division\u2019s Office Services Branch via telephone at (808) 586-2790.
A copy of the proposed rules may be obtained before the date of the hearing between 7:45 a.m. and 4:30 p.m., Monday through Friday, excluding holidays, at the following address: Department of Commerce and Consumer Affairs, Insurance Division, 335 Merchant Street, Room 213, Honolulu, Hawaii 96813. A $3.00 charge will be due and payable at the time of picking up the proposed rules.
Further, the proposed rules may be reviewed in person free of charge at the Insurance Division at the address and hours of operation noted above. In addition, the full text of the proposed rules is available for review and can be downloaded free of charge from the website of the Department of Commerce and Consumer Affairs: http://www.hawaii.gov/dcca/areas/ins/main/har/.
Individuals who require special needs accommodations are invited to call John Wienert at (808) 586-2790 at least four (4) working days prior to the hearing. The Insurance Division intends to make its decision on the proposed rules at the time of the hearing. However, in the event the Insurance Division decides to take the decision on the proposed rules under advisement, it will announce the date when it intends to make its decision.
J. P. Schmidt
Insurance Commissioner
State of Hawaii
(SB05533229 12/13/07)
