Bill Text: HI SB2701 | 2010 | Regular Session | Amended

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

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Bill Title: Prepaid Legal Services Plans

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2010-04-23 - (S) Act 047, 4/23/2010 (Gov. Msg. No. 509). [SB2701 Detail]

Download: Hawaii-2010-SB2701-Amended.html

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STAND. COM. REP. NO. 2357

 

Honolulu, Hawaii

                  

 

RE:    S.B. No. 2701

       S.D. 1

 

 

 

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

 

Madam:

 

     Your Committee on Commerce and Consumer Protection, to which was referred S.B. No. 2701 entitled:

 

"A BILL FOR AN ACT RELATING TO CONSUMER PROTECTION,"

 

begs leave to report as follows:

 

     The purpose of this measure is to update the laws regulating prepaid legal service plans. 

 

     Your Committee received testimony on this measure from the Insurance Commissioner of the Department of Commerce and Consumer Affairs.  Written testimony presented to the Committee may be reviewed on the Legislature's website.

 

     Your Committee finds that this measure will strengthen the laws regulating prepaid legal plans and will give the Department of Commerce and Consumer Affairs more robust enforcement and regulatory authority over these plans.  Your Committee finds that the current weak regulation of prepaid legal plans has created an environment where it is possible for unscrupulous providers to take advantage of unwary consumers, especially seniors.  Your Committee notes that the Department of Commerce and Consumer Affairs has reported a recent increase in complaints regarding prepaid legal plans and predicts a low rate of plan compliance with state law.  Your Committee finds that this measure is necessary to effectively protect Hawaii consumers. 

 

     Your Committee has amended this measure by making nonsubstantive technical changes for the purposes of clarity and accuracy. 

 

     As affirmed by the record of votes of the members of your Committee on Commerce and Consumer Protection that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2701, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2701, S.D. 1, and be placed on the calendar for Third Reading.

 

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

 

		____________________________ ROSALYN H. BAKER, Chair