SB3076

Report Title:

Workers' Compensation; Surcharges

 

Description:

Requires HEMIC to file formulas for workers' compensation insurance surcharges with the insurance commissioner.

THE SENATE	S.B. NO.	3076
TWENTY-FIRST LEGISLATURE, 2002
STATE OF HAWAII

A BILL FOR AN ACT

 

relating to workers' compensation insurance.

 

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

SECTION 1. Chapter 431, Hawaii Revised Statutes, is amended by adding a new section to article 14A to be appropriately designated and to read as follows:

"§431:14A- Surcharges; review and adjustment. (a) All formulas used to calculate surcharges shall be disclosed to insureds by including such formulas on the policy adjacent to the applicable surcharge amount on the policy.

(b) The company shall annually file with the insurance commissioner a report containing all surcharge formulas the company utilizes to determine premiums assessed against insureds. If the insurance commissioner finds any surcharge amount excessive or inadequate, the insurance commissioner may adjust the formula in accordance with 431:14-120."

SECTION 2. New statutory material is underscored.

SECTION 3. This Act shall take effect upon its approval.

INTRODUCED BY:	_____________________________