Bill Text: HI SB2765 | 2012 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Captive Insurance Companies

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2012-07-10 - (S) Act 253, 7/6/2012 (Gov. Msg. No. 1356). [SB2765 Detail]

Download: Hawaii-2012-SB2765-Amended.html

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STAND. COM. REP. NO. 2740

 

Honolulu, Hawaii

                  

 

RE:    S.B. No. 2765

       S.D. 2

 

 

 

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii

 

Sir:

 

     Your Committee on Ways and Means, to which was referred S.B. No. 2765, S.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO CAPTIVE INSURANCE COMPANIES,"

 

begs leave to report as follows:

 

     The purpose and intent of this measure is to update Hawaii's laws regulating captive insurance companies and ensure that risk retention captive insurance companies are in compliance with national industry standards.

 

     Written comments in support of this measure were submitted by the State Insurance Commissioner, Department of Commerce and Consumer Affairs.

 

     Your Committee finds that captive insurance companies domiciled in Hawaii provide significant business and economic advantages for the State.  Accordingly, it is important for Hawaii to maintain a regulatory structure for this industry that ensures Hawaii continues to be an attractive business environment for captive insurance companies.

 

Your Committee finds that, in addition to updating and streamlining the captive insurance company law, this measure will provide greater flexibility for companies to insure captive risk, allow the Insurance Commissioner more flexibility in regulating the industry, and ensure that risk retention captive insurance companies comply with the accreditation standards of the National Association of Insurance Commissioners.

 

     Your Committee has amended this measure by 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 Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2765, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2765, S.D. 2.

 

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

 

		____________________________ DAVID Y. IGE, Chair