reglab/statecodes huggingface dataset:
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14-111 Advisory organizations.

§431:14-111 Advisory organizations.
(a) Every group, association or other organization of insurers, whether located within or outside this State, which assists insurers which make their own filings or rating organizations in ratemaking, by the collection and furnishing of loss or expense statistics, or by the submission of recommendations, but which does not make filings under this article, shall be known as an advisory organization.
(b) Every advisory organization shall file with the commissioner:
(1) A copy of its constitution, its articles of agreement or association, or its certificate of incorporation and of its bylaws, rules and regulations governing its activities;
(2) A list of its members;
(3) The name and address of a resident of this State upon whom notices or orders of the commissioner or process issued at the commissioner's direction may be served; and
(4) An agreement that the commissioner may examine the advisory organization in accordance with section 431:14-113.
(c) If, after a hearing, the commissioner finds that the furnishing of such information or assistance by the advisory organization involved any act or practice which is unfair or unreasonable or otherwise inconsistent with this article, the commissioner may issue a written order specifying in what respects the act or practice is unfair or unreasonable or otherwise inconsistent with this article, and requiring the discontinuance of the act or practice.
(d) No insurer which makes its own filings, nor any rating organization, shall support its filings by statistics or adopt ratemaking recommendations furnished to it by an advisory organization which has not complied with this section or with an order of the commissioner involving the statistics or recommendations issued under subsection (c). If the commissioner finds such insurer or rating organization to be in violation of this subsection, the commissioner may issue an order requiring the discontinuance of such violation. [L 1987, c 347, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14-112 Joint underwriting or joint reinsurance.

§431:14-112 Joint underwriting or joint reinsurance.
(a) Every group, association, or other organization of insurers which engages in joint underwriting or joint reinsurance, shall be subject to regulation as provided below, subject:
(1) With respect to joint underwriting, to all other provisions of this article, and
(2) With respect to joint reinsurance, to section 431:14-113, section 431:14-117 and section 431:14-118.
(b) If, after a hearing, the commissioner finds that any activity or practice of any such group, association or other organization is unfair or unreasonable or otherwise inconsistent with this article, the commissioner may issue a written order specifying in what respects the activity or practice is unfair or unreasonable or otherwise inconsistent with this article, and requiring the discontinuance of such activity or practice. [L 1987, c 347, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14-113 Examination.

§431:14-113 Examination.
(a) The commissioner may, as often as the commissioner may deem it expedient, make or cause to be made an examination of each rating organization referred to in section 431:14-107, each advisory organization referred to in section 431:14-111 and of each group, association or other organization referred to in section 431:14-112. The reasonable costs of any such examination shall be paid by the rating organization, advisory organization, or group, association, or other organization examined upon presentation to it of a detailed account of such costs. The officer, manager, agents, and employees of the rating organization, advisory organization, or group, association, or other organization may be examined at any time under oath and shall exhibit all books, records, accounts, documents, or agreements governing its method of operation. In lieu of any such examination, the commissioner may accept the report of an examination made by the insurance supervisory official of any state, pursuant to the laws of such state.
(b) The commissioner shall furnish the organization examined a copy of the examination report not fewer than sixty days prior to the filing of the report for public inspection in the insurance division. If the organization so requests in writing during the sixty-day period, the commissioner shall hold a hearing to consider the organization's objections to the report as proposed, and shall not file the report until after the hearing and until after any modifications in the report deemed necessary by the commissioner have been made. If the organization does not request a hearing on the report, the examination report shall be filed at the end of sixty days.
(c) Once filed, the report shall be available for public inspection and shall be admissible as a public record, except that the commissioner or the commissioner's examiners may at any time testify and offer other proper evidence as to information secured during the course of an examination, regardless of whether a written report of the examination has at that time been either made, served, or filed in the insurance division. [L 1987, c 347, pt of §2; am L 1990, c 255, §12; am L 2004, c 122, §63]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14-114 Rate administration.

§431:14-114 Rate administration.
(a) The commissioner may promulgate reasonable rules and statistical plans, which may be modified from time to time, and which shall be used by each insurer in the recording and reporting of its loss and country-wide expense experience, in order that the experience of all insurers may be made available at least annually in such form and detail as may be necessary to aid the commissioner in determining whether rating systems comply with the standards set forth in section 431:14-103. The rules and plans may also provide for the recording and reporting of expense experience items which are specially applicable to this State and are not susceptible of determination by a prorating of country-wide expense experience. In promulgating such rules and plans, the commissioner shall give due consideration to:
(1) The rating systems on file with the commissioner; and
(2) The rules and the form of the plans used for such rating system in other states, in order that the rules and plans may be as uniform as is practicable among the several states and this State.
No insurer shall be required to record or report its loss experience on a classification basis that is inconsistent with the rating system filed by it. The commissioner may designate one or more rating organizations or other agencies to assist the commissioner in gathering the experience and compiling the information. The compilations shall be made available, subject to reasonable rules promulgated by the commissioner, to insurers and rating organizations.
(b) Reasonable rules and plans may be promulgated by the commissioner for the interchange of data necessary for the application of rating plans.
(c) In order to further the uniform administration of rate regulatory laws, the commissioner and every insurer and rating organization may exchange information and experience data with insurance supervisory officials, insurers, and rating organizations in any state and may consult with them with respect to ratemaking and the application of rating systems.
(d) The commissioner may make reasonable rules and regulations necessary to effect the purposes of the rating laws. [L 1987, c 347, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14-115 False or misleading information.

§431:14-115 False or misleading information.
No person or organization shall wilfully withhold information from or knowingly give false or misleading information to the commissioner, any statistical agency designated by the commissioner, any rating organization, or any insurer, which will affect the rates or premiums chargeable under this article. Violation of this section shall subject the one guilty of such violation to the penalties provided in section 431:14-117. [L 1987, c 347, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14-116 Assigned risks.

§431:14-116 Assigned risks.
Agreements may be made among insurers with respect to the equitable apportionment among them of insurance which may be afforded applicants who are in good faith entitled to, but who are unable to procure, such insurance through ordinary methods and the insurers may agree among themselves on the use of reasonable rate modifications for such insurance, the agreements and rate modifications to be subject to the approval of the commissioner; provided that this section shall not apply to workers' compensation insurance after December 31, 1996, or the date the domestic mutual insurance company established pursuant to [section] 431:14A-103 writes its first policy, whichever is later. [L 1987, c 347, pt of §2; am L 1996, c 261, §3]
Note
For contingent repeal and reenactment, see L 1996, c 261, §10.
Cross References
Discontinuation of assigned risks, see §431:14A-119.
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14-116.5 Assigned risk pool; experience rating plan. No employer shall be placed in an assigned risk pool for workers' compensation insurance that does not utilize an experience rating plan that includes: (1) Reasonable eligibility standards; (2) Incentives for loss prevention; (3) Sufficient premium differentials to encourage safety; and (4) Provisions for reasonable and equitable limitations on the ability of policyholders to avoid the impact of past adverse claims experience through change of ownership, control, management, or operation. [L 1995, c 234, pt of §20]

§431:14-116.5
Assigned risk pool; experience rating plan.
No employer shall be placed in an assigned risk pool for workers' compensation insurance that does not utilize an experience rating plan that includes:
(1) Reasonable eligibility standards;
(2) Incentives for loss prevention;
(3) Sufficient premium differentials to encourage safety; and
(4) Provisions for reasonable and equitable limitations on the ability of policyholders to avoid the impact of past adverse claims experience through change of ownership, control, management, or operation. [L 1995, c 234, pt of §20]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14-117 Penalties.

§431:14-117 Penalties.
(a) The commissioner, if the commissioner finds any person or organization has violated any provision of this article, may impose a penalty of not more than $500 for each violation, but if the commissioner finds the violation to be wilful the commissioner may impose a penalty of not more than $5,000 for each such violation. The penalties may be in addition to any other penalty provided by law. For purposes of this section, any insurer using a rate for which the insurer has failed to file the rate, supplementary rating information, underwriting rules or guides, or supporting information as required by this article, shall have committed a separate violation for each day such failure to file continues.
(b) The commissioner may suspend the license of any rating organization or insurer which fails to comply with an order of the commissioner within the time limited by the order, or any extension thereof which the commissioner may grant. The commissioner shall not suspend the license of any rating organization or insurer for failure to comply with an order until the time prescribed for an appeal from the order has expired or, if an appeal has been taken, until the order has been affirmed. The commissioner may determine when a suspension of license shall become effective and it shall remain in effect for the period fixed by the commissioner unless the commissioner modifies or rescinds such suspension, or until the order upon which the suspension is based is modified, rescinded, or reversed.
(c) No penalty shall be imposed and no license shall be suspended or revoked except upon a written order of the commissioner, stating the commissioner's findings, made after a hearing held upon not less than ten days' written notice to the person or organization specifying the alleged violation. [L 1987, c 347, pt of §2; am L 1990, c 255, §13]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14-118 Hearing procedure and judicial review.

§431:14-118 Hearing procedure and judicial review.
(a) Any insurer or rating organization aggrieved by any order or decision of the commissioner made without a hearing, may, within thirty days after notice of the order to the insurer or organization, make written request to the commissioner for a hearing. The commissioner shall hold a hearing within twenty days after receipt of the request, and shall give not less than ten days' written notice of the time and place of the hearing. Within fifteen days after the hearing, the commissioner shall affirm, reverse, or modify the commissioner's previous action, specifying the reasons for the commissioner's decision. Pending the hearing and decision, the commissioner may suspend or postpone the effective date of the commissioner's previous action.
(b) Any final order or decision of the commissioner may be reviewed in the circuit court of the first circuit, and an appeal from the decision of the court shall lie to the intermediate appellate court, subject to chapter 602. The review shall be taken and had in the manner provided in chapter 91. [L 1987, c 347, pt of §2; am L 2004, c 202, §49; am L 2006, c 94, §1; am L 2010, c 109, §1]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14-120 Additional powers for workers' compensation rate filing and ratemaking.

§431:14-120 Additional powers for workers' compensation rate filing and ratemaking.
(a) The commissioner shall review filings as soon as reasonably possible after they have been made to determine whether they meet the requirements of this article.
(b) Except as provided herein, each filing shall be on file for a waiting period of ninety days before the filing becomes effective. The period may be extended by the commissioner for an additional period not to exceed fifteen days if the commissioner gives written notice within the waiting period to the insurer, rating organization, or advisory organization that made the filing that the commissioner needs the additional time for the consideration of the filing. Upon the written application by the insurer, rating organization, or advisory organization, the commissioner may authorize a filing which the commissioner has reviewed to become effective before the expiration of the waiting period or any extension thereof. A filing shall be deemed to meet the requirements of this article unless disapproved by the commissioner within the waiting period or any extension thereof.
(c) The commissioner may institute proceedings for appropriate relief including but not limited to proceedings to roll back current rates whenever it appears to the commissioner that an insurer or other interested persons regulated by this article affecting workers' compensation insurance rates has:
(1) Violated or failed to comply with any provisions of this part or of any state or federal law;
(2) Failed to comply with any rule, regulation, or other requirement of any other state or federal agency which affects workers' compensation insurance rates;
(3) Failed to comply with any provision of its charter or franchise;
(4) Set or applied any rates, classification, charges, or rules affecting workers' compensation insurance that are unreasonable or are unreasonably discriminatory;
(5) Failed to give appropriate consideration to investment income earned or realized by insurers, including investment income earned from unearned premium and loss reserve funds in making rates; or
(6) Failed to recognize good safety performance records of employers in setting premium rates and levels. [L 1987, c 347, pt of §2; am L 1997, c 81, §2; am L 1998, c 71, §3; am L 2000, c 264, §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-101 Purpose.

§431:14A-101 Purpose.
The Hawaii employers' mutual insurance company is established to provide workers' compensation coverage to employers of the State at the highest level of service with the lowest possible cost, consistent with reasonable and applicable actuarial standards and the sound financial integrity of the company. The purposes of the company are to provide the highest standard of workplace safety and loss prevention, to encourage employer involvement, and to be responsive to each policyholder's experience, practice, and operating effectiveness. Nothing in this article shall create any implied third-party duty or impose additional legal liability for the company toward its members or beneficiaries beyond that explicitly created by this chapter, chapter 386, or common law, and generally applicable to all issuers of workers' compensation insurance in this State. [L 1996, c 261, pt of §2; am L 2010, c 52, §1]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-102 Definitions.

§431:14A-102 Definitions.
As used in this article:
"Administrator" means the chief executive officer of the Hawaii employers' mutual insurance company.
"Board" means the board of directors of the Hawaii employers' mutual insurance company.
"Company" means the Hawaii employers' mutual insurance company established by this article.
"Council" means the Hawaii employers' mutual insurance company oversight council.
"Investment manager" means any fiduciary, who has been designated by the board to manage, acquire, or dispose of the company's assets, a bank as defined by law, or an insurance company qualified to perform services under the laws of more than one state.
"Qualified actuary" means a member of the American Academy of Actuaries who is either a fellow of the Casualty Actuarial Society or an Associate of the Casualty Actuarial Society who has five or more years of experience. [L 1996, c 261, pt of §2; am L 1998, c 252, §3; am L 2010, c 52, §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-104 Company divisions.

§431:14A-104 Company divisions.
(a) For purposes of providing representation on the board, the company shall consist of industry divisions and a high risk division. Assignments to each division shall be made by the administrator with the approval of the board. The initial company divisions shall include:
(1) Manufacturing and producers;
(2) Services, entertainment, and amusement;
(3) Professions;
(4) Construction;
(5) Wholesale and retail sales;
(6) Transportation and public utilities;
(7) Finance, insurance, and real estate; and
(8) High risk.
(b) An employer with two or more lost-time claims greater than $10,000, and a loss ratio greater than 1.0, over the immediately preceding three years shall be placed in the high risk division.
(c) The administrator, with the approval of the board, shall modify the requirements for placing employers in the high risk division if the qualifications result in the high risk division being limited to only those employers with measurable adverse loss ratios, demonstrated accident frequency records, or a demonstrated attitude of noncompliance with workplace safety and health programs or claims management requirements.
(d) The company shall give notice to each employer in the high risk division not less than thirty days prior to the policy renewal date requesting a report on the employer's lost-time claims for the policy year. The report shall be used to determine the employer's qualification for placement in the high risk division.
(e) The company may apply a rating differential and charge a surcharge to any employer placed in the high risk division. The company may make multiple rate filings, consistent with sound actuarial judgment for each classification. These rate filings may be applied to risks in any division.
(f) The contingent liabilities of members provided in section 431:4-317 may be separated so that members assigned to the high risk division have a further contingent liability for deficits in the high risk division; provided that no contingent liability shall be in the aggregate for more than five times the annual premium rate of the member's policy nor for a term of more than one year. [L 1996, c 261, pt of §2; am L 1997, c 300, §5]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-106 Powers; generally.

§431:14A-106 Powers; generally.
Except as otherwise limited by this chapter, the company may:
(1) Sue, be sued, complain, and defend, in its corporate name;
(2) Have a corporate seal, which may be altered at pleasure, and use the seal by causing it, or a facsimile thereof, to be impressed, affixed, or in any other manner reproduced;
(3) Purchase, take, receive, lease, take by gift, devise, or bequest, or otherwise acquire, own, hold, improve, use, and otherwise deal in and with real or personal property, or any interest therein, wherever situated;
(4) Sell, convey, mortgage, pledge, lease, exchange, transfer, and otherwise dispose of all and any part of its property and assets;
(5) Make contracts and incur liabilities, borrow money at such rates of interest as the board may determine, issue guaranty capital shares and surplus notes, require capital contributions, issue its notes, debenture bonds, and other obligations, secure any of its obligations by mortgage or pledge of all or any portion of its property or income, and secure financing by any board approved mechanism;
(6) Allocate fiduciary responsibilities among the directors and designate other persons to carry out fiduciary responsibilities;
(7) Collect, receive, hold, and disburse all money payable to or by the company;
(8) Deposit the company's money in banks or depositories selected by the board and withdraw the company's money from such banks or depositories; provided that the withdrawal shall be made or authorized only upon the signatures of at least two persons approved by the board;
(9) Pay money from the company to effectuate the company's purpose and administration, including amounts for costs incurred to establish the company; and
(10) Exercise all powers necessary or convenient to effect the purposes of the company. [L 1996, c 261, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-107 Duties and responsibilities.

§431:14A-107 Duties and responsibilities.
(a) All corporate powers shall be exercised by or under the authority of the board, unless otherwise provided in this chapter or in the articles of incorporation.
(b) The board shall discharge its duties:
(1) In accordance with the company's purpose;
(2) With the care, skill, prudence, and diligence under the circumstances that a prudent director, acting in a like capacity and familiar with such matters would use in conducting a similar enterprise and purpose;
(3) By diversifying the company's investments to minimize the risk of losses, unless it is prudent not to do so;
(4) In accordance with governing legal documents;
(5) By having an annual audit of the company by an independent certified public accountant;
(6) By securing a fidelity bond for the administrator and in its discretion for other agents dealing with the company's assets at the company's expense;
(7) By purchasing liability insurance for errors and omissions for the board, each director, and any other fiduciary employed or contracted by the company to cover liability or losses caused by the act or omission of a fiduciary;
(8) By maintaining proper books of accounts and records of the company's administration;
(9) By carrying out the reporting and disclosure requirements required by law;
(10) By appointing a qualified actuary to develop and recommend a responsible schedule of premium rates with consideration of the company's investment income or refunds, or both, and to provide actuarial certification of the company's loss reserves; and
(11) By cooperating with and assisting the council in its duties and responsibilities.
(c) Except as otherwise provided by law, the board may:
(1) Transact workers' compensation insurance policies required or authorized by state law to the same extent as any other insurer;
(2) Provide the terms and conditions of an insurance policy;
(3) Provide that any written instrument be executed for the company by the administrator or the administrator's agent;
(4) Enter into agreements to reinsure all or part of the company's exposure to loss and to limit the risk to the company; and
(5) Employ persons to administer the company, including legal counsel, accountants, insurance consultants, administrators, qualified actuaries, investment managers, adjustors, other experts, and clerical employees and pay compensation and expenses in connection therewith. [L 1996, c 261, pt of §2; am L 1998, c 252, §5]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-108 Administrator; appointment; duties.

§431:14A-108 Administrator; appointment; duties.
(a) The board shall hire an administrator who shall serve at the pleasure of the board. The administrator shall be the chief executive officer and shall be responsible for the day-to-day operations and management of the company.
(b) The administrator shall have proven, successful experience as an executive at the general management level in the insurance business. The administrator shall manage and conduct the business of the company according to the board's direction and policies. The administrator shall receive compensation authorized by the board.
(c) Before entering the duties of office, the administrator shall give a fidelity bond in an amount and with sureties approved by the board. The premium for the bond shall be paid by the company.
(d) The administrator shall be an ex officio, nonvoting member of the board. [L 1996, c 261, pt of §2; am L 2004, c 122, §65; am L 2010, c 52, §4]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-110 Premium rates, determination.

§431:14A-110 Premium rates, determination.
(a) The board shall establish the premium rates to be charged for insurance sold by the company. The company shall comply with the requirements set forth in article 14 of this chapter. Premium rates shall be set at levels sufficient, when invested, to carry all claims to maturity, to meet the reasonable expenses for administering the company, and to maintain a reasonable surplus.
(b) The board shall hire a qualified actuary to assist with the development of sound premium rates. [L 1996, c 261, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-112 Financial statements and other reports.

§431:14A-112 Financial statements and other reports.
(a) The company shall submit to the commissioner an annual statement of financial condition audited by an independent certified accountant. The audit report shall contain an actuarial opinion prepared by a qualified actuary on the company's claims reserves and expenses. The financial statement shall be on a form prescribed by the commissioner and shall include actuarially appropriate reserves for:
(1) Known claims and associated expenses;
(2) Claims incurred but not reported and associated expenses;
(3) Unearned premiums; and
(4) Bad debts, reserves for which shall be shown as liabilities.
(b) The company shall compile and maintain statistical and actuarial data relating to the determination of premium rate levels, the incidence of work-related injuries, the cost of injuries, and other data relating to work injuries. The compiled information shall be submitted annually to the commissioner and to the director of labor and industrial relations. [L 1996, c 261, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-113 Annual accounting; dividends.

§431:14A-113 Annual accounting; dividends.
(a) The company shall conduct an annual accounting of its incurred loss experience and expenses.
(b) The board may declare and apportion reasonable dividends to policyholders, determined by an actuarial opinion prepared by a qualified actuary after evaluating the impact of the dividends on the solvency of the company. The dividends may be paid or credited to policyholders according to classifications of policies established by the board.
(c) No dividends shall be:
(1) Paid or credited in a manner that unfairly discriminates between policies within the same classification;
(2) Made contingent upon payment of any renewal premium on any policy; or
(3) Paid or credited in the first three years of operation of the company. [L 1996, c 261, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-114 Audits.

§431:14A-114
Audits.
The administrator, or designated representative, shall have reasonable access to any policyholder's payroll and employment records during regular working hours to carry out audits of payroll reported, the number of employees on the payroll, and other information necessary for the administration of this article. [L 1996, c 261, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-115 Denial, cancellation, and termination.

§431:14A-115 Denial, cancellation, and termination.
The company may deny coverage or renewal of an existing policy or may terminate an existing policy of a policyholder or applicant for:
(1) Nonpayment of an undisputed premium;
(2) Refusal to permit on-site workplace safety examinations;
(3) Failure to comply with workplace safety and health programs required by the company; or
(4) Failure to accurately disclose information concerning the applicant's or policyholder's ownership, change of ownership, operations, or payroll, including the allocation of payroll among state and federal compensation programs, and other information necessary for the board to determine premium rates. [L 1996, c 261, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-116 Wilful misrepresentation and fraud.

§431:14A-116 Wilful misrepresentation and fraud.
(a) Any person who wilfully makes a false statement or representation for the purpose of directly obtaining any compensation or payment or for the purpose of avoiding any compensation or payment under this article shall be subject to the penalties in section 386-98.
(b) The company shall develop and implement a program to identify and investigate fraudulent insurance acts. [L 1996, c 261, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-117 Workplace safety and health programs.

§431:14A-117 Workplace safety and health programs.
(a) The company shall work with policyholders, health care providers, and employees to develop, implement, and monitor workplace safety and health and return to work programs. The programs shall include the development of a workplace accident and injury reduction plan that promotes safe working conditions.
(b) The company shall promote safety programs to policyholders through programs and activities which may include:
(1) Analyzing reports of industrial accidents of members to help determine the cause of those accidents;
(2) Conducting studies for risk and hazard identification and assessments by safety and medical professionals;
(3) Conducting educational programs designed to prevent frequently recurring industrial accidents; and
(4) Inspecting work sites and investigating unsafe working conditions to promote job safety and eliminate hazards.
(c) Company representatives shall have reasonable access to the premises of any policyholder or applicant during regular working hours to carry out workplace evaluations.
(d) Where the company finds, upon the completion of a detailed inspection that an insured has policies and practices in place that demonstrate a high regard for employee work safety, the company may apply a deviation to the insured's rate structure, noting special recognition of those efforts.
(e) The company shall not incur additional legal liability toward its members or beneficiaries as a result of any action taken or not taken pursuant to this chapter beyond that explicitly created by this chapter, chapter 386, or common law, and generally applicable to the acts or omissions of all issuers of workers' compensation insurance in this State. [L 1996, c 261, pt of §2; am L 2010, c 52, §5]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-118 Discontinuation of residual market plan.

§431:14A-118
Discontinuation of residual market plan.
(a) The residual market plan, as authorized by section 431:14-116.6, is discontinued effective December 31, 1996, or the date the company writes its first policy, whichever date is later, except for dissolution of any obligations for claims arising out of any policies written pursuant to the plan with inception dates of or before December 31, 1996, or the date the company writes its first policy, whichever date is later. It is the intent of this section to provide for an orderly transfer of policies from the residual market plan as authorized by section 431:14-116.6 to the company.
(b) The residual market plan shall continue its operation for all policies with inception dates of or before December 31, 1996, or the date the company writes its first policy, whichever date is later. All policies written thereunder shall be for one-year terms, and shall not be terminated prior to expiration except for cause. In no case shall policies with inception dates of January 1, 1997, or the date the company writes its first policy, whichever date is later, be provided under the residual market plan authorized by section 431:14-116.6. [L 1996, c 261, pt of §2]
Note
For contingent repeal, see L 1996, c 261, §10.
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14A-119 Discontinuation of assigned risks.

§431:14A-119
Discontinuation of assigned risks.
(a) Assigned risk coverage, as authorized by section 431:14-116, is discontinued effective December 31, 1996, or the date the company writes its first policy, whichever date is later, except for dissolution of any obligations for claims arising out of any policies written pursuant to section 431:14-116 with inception dates on or before December 31, 1996, or the date the company writes its first policy, whichever date is later. It is the intent of this section to provide for an orderly transfer of assigned risks as authorized by section 431:14-116 to the company.
(b) Assigned risk coverage, as authorized under section 431:14-116 shall continue operation for all policies with inception dates of or before December 31, 1996, or the date the company writes its first policy, whichever date is later. All policies written thereunder shall be for one-year terms, and shall not be terminated prior to expiration except for cause. In no case shall policies with inception dates of January 1, 1997, or the date the company writes its first policy, whichever date is later, be provided for assigned risks authorized by section 431:14-116. [L 1996, c 261, pt of §2]
Note
For contingent repeal, see L 1996, c 261, §10.
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14G-101 Scope and purpose.

§431:14G-101 Scope and purpose.
(a) This article shall apply to all types of health insurance offered by managed care plans.
(b) The purpose of this article is to promote the public welfare by regulating health insurance rates to the end that they shall not
be excessive, inadequate, or unfairly discriminatory. Nothing in this article
is intended to:
(1) Prohibit or discourage reasonable competition; or
(2) Prohibit or encourage, except to the extent necessary to accomplish the aforementioned purposes, uniformity in insurance rates, rating systems, rating plans, or practices.
This article shall be liberally interpreted to carry into effect this section. [L 2007, c 175, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14G-102 Definitions.

§431:14G-102 Definitions.
As used in this article:
"Commissioner" means the insurance commissioner.
"Enrollee" means a person who enters into a contractual relationship or who is provided with health care services or benefits through a managed care plan.
"Managed care plan" or "plan" means a health plan as defined in section 431:10A, or chapter 432 or 432D, regardless of form, offered or administered by a health care insurer, including but not limited to a mutual benefit society or health maintenance organization, or voluntary employee beneficiary associations, but shall not include disability insurers licensed under chapter 431.
"Rate" means every rate, charge, classification, schedule, practice, or rule. The definition of "rate" excludes fees and fee schedules paid by the insurer to providers of services covered under this article.
"Supplementary rating information" includes any manual or plan of rates, classification, rating schedule, minimum premium, policy fee, rating rule, underwriting rule, statistical plan, and any other similar information needed to determine the applicable rates in effect or to be in effect.
"Supporting information" means:
(1) The experience and judgment of the filer and the experience or data of other organizations relied on by the filer;
(2) The interpretation of any other data relied upon by the filer; and
(3) Descriptions of methods used in making the rates and any other information required by the commissioner to be filed. [L 2007, c 175, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14G-103 Making of rates.

§431:14G-103 Making of rates.
(a) Rates shall not be excessive, inadequate, or unfairly discriminatory and shall be reasonable in relation to the costs of the benefits provided.
(b) Except to the extent necessary to meet subsection (a), uniformity among managed care plans in any matters within the scope of this section shall be neither required nor prohibited. [L 2007, c 175, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14G-103.5 Rerating.

§431:14G-103.5 Rerating.
No person, business, or entity may change or rerate any rate approved by the commissioner in any subsequent transfer, sale, resale, or pass through of health insurance issued by a managed care plan. [L 2015, c 63, §22]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14G-104 Rate adjustment mandates.

§431:14G-104 Rate adjustment mandates.
(a) Except as otherwise provided by law, the commissioner may mandate filings for health insurance under section 431:14G-105 when the commissioner has actuarially sound information that current rates may be excessive, inadequate, or unfairly discriminatory.
(b) Managed care plans shall submit the rate filings within one hundred twenty days of the commissioner's mandate.
(c) The rate filings shall be subject to the rate filing requirements under section 431:14G-105. [L 2007, c 175, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14G-106 Policy revisions that alter coverage.

§431:14G-106 Policy revisions that alter coverage.
All plan revisions that alter coverage in any manner shall be filed with the commissioner. After review by the commissioner, the commissioner shall determine whether a rate filing for the plan revision must be submitted in accordance with section 431:14G-105. [L 2007, c 175, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14G-108 Managed care plans; prohibited activity.

§431:14G-108 Managed care plans; prohibited activity.
(a) Except as permitted in this article, no managed care plan shall:
(1) Attempt to monopolize, or combine or conspire with any other person to monopolize an insurance market; or
(2) Engage in a boycott, on a concerted basis, of an insurance market.
(b) Except as permitted in this article, no managed care plan shall make any arrangement with any other person that has the purpose or effect of restraining trade unreasonably or of substantially lessening competition in the business of insurance. [L 2007, c 175, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14G-109 Information to be furnished enrollees; hearings and appeals of enrollees.

§431:14G-109 Information to be furnished enrollees; hearings and appeals of enrollees.
Every managed care plan that makes its own rates, within a reasonable time after receiving written request therefore and upon payment of reasonable charges as it may make, shall furnish to any enrollee affected by a rate made by it or to the authorized representative of the enrollee, all pertinent information as to the rate; provided that the managed care plan shall not be required to disclose supporting information and supplementary rating information protected pursuant to section 431:14G-105(d). [L 2007, c 175, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14G-109.5 Publication of premium information.

§431:14G-109.5 Publication of premium information.
(a) Upon the commissioner's request, all managed care plans shall provide health insurance premium information to the commissioner within thirty days of the request.
(b) The commissioner shall publish annually, by electronic or online publication on the official website of the insurance division, a list of all managed care plans with representative annual premiums for health insurance. The commissioner shall have information on premiums for health insurance, which shall be available to the public on request. [L 2014, c 66, §1]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14G-110 False or misleading information

§431:14G-110 False or misleading information
. No person or organization shall wilfully withhold information from or knowingly give false or misleading information to the commissioner, any statistical agency designated by the commissioner, or any managed care plan, which will affect the rates or premiums chargeable under this article. Violation of this section shall subject the one guilty of the violation to the penalties provided in section 431:14G-111. [L 2007, c 175, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14G-111 Penalties.

§431:14G-111 Penalties.
(a) If the commissioner finds that any person or organization has violated any provision of this article, the commissioner may impose a penalty of not more than $500 for each violation; provided that if the commissioner finds the violation to be wilful, the commissioner may impose a penalty of not more than $5,000 for each violation. The penalties may be in addition to any other penalty provided by law. For purposes of this section, any managed care plan using a rate for which the managed care plan has failed to file the rate, supplementary rating information, underwriting rules or guides, or supporting information as required by this article, shall have committed a separate violation for each day the failure to file continues.
(b) The commissioner may suspend the license or operating authority of any managed care plan that fails to comply with an order of the commissioner within the time limited by the order, or any extension thereof that the commissioner may grant. The commissioner shall not suspend the license of any managed care plan for failure to comply with an order until the time prescribed for an appeal from the order has expired or, if an appeal has been taken, until the order has been affirmed. The commissioner may determine when a suspension of license or operating authority shall become effective and it shall remain in effect for the period fixed by the commissioner unless the commissioner modifies or rescinds the suspension, or until the order upon which the suspension is based is modified, rescinded, or reversed.
(c) No penalty shall be imposed and no license or operating authority shall be suspended or revoked except upon a written order of the commissioner, stating the commissioner's findings, made after a hearing held upon not less than ten days' written notice to the person or organization. The notice shall specify the alleged violation. [L 2007, c 175, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:14G-112 Hearing procedure and judicial review.

§431:14G-112 Hearing procedure and judicial review.
(a) Any managed care plan aggrieved by any order or decision of the commissioner made without a hearing, within thirty days after notice of the order to the managed care plan, may make written request to the commissioner for a hearing. The commissioner shall hold a hearing within twenty days after receipt of the request, and shall give not less than ten days' written notice of the time and place of the hearing. The commissioner shall promptly conduct and complete the hearing. Within fifteen days after the hearing is completed, the commissioner shall affirm, reverse, or modify the commissioner's previous action, specifying the reasons for the commissioner's decision. Pending the hearing and decision, the commissioner may suspend or postpone the effective date of the commissioner's previous action.
(b) Any final order or decision of the commissioner may be reviewed in the circuit court of the first circuit
and an appeal from the decision of the court shall lie to the supreme court. The review shall be taken and had in the manner provided in chapter 91. [L 2007, c 175, pt of §2]
2023 Hawaii Revised Statutes › Title 24. Insurance › 431. Insurance Code › 431:15-101 Construction and purpose.

Case Notes
Under § §431:15-310 and 431:15-313, the commissioner has exclusive standing under this article to assert claims arising out of the liquidation or rehabilitation of an insurance company on behalf of not only the insolvent insurer, but also its policyholders, creditors, and all other interested parties. 89 H. 427, 974 P.2d 1017 (1999).
This article applies to mutual benefit societies. 99 H. 53, 52 P.3d 823 (2002).
PART I. GENERAL PROVISIONS
§431:15-101 Construction and purpose.
(a) This article shall be cited as the Insurers Supervision, Rehabilitation and Liquidation Act.
(b) This article shall not be interpreted to limit the powers granted the commissioner by other provisions in this code.
(c) This article shall be liberally construed to effect the purpose stated in subsection (d).
(d) The purpose of this article is the protection of the interests of insureds, claimants, creditors, and the public generally, with minimum interference with the normal prerogatives of the owners and managers of insurers, through:
(1) Early detection of any potentially dangerous condition in an insurer, and prompt application of appropriate corrective measures;
(2) Improved methods for rehabilitating insurers, involving the cooperation and management expertise of the insurance industry;
(3) Enhanced efficiency and economy of liquidation, through clarification of the law, to minimize legal uncertainty and litigation;
(4) Equitable apportionment of any unavoidable loss;
(5) Lessening the problems of interstate rehabilitation and liquidation by facilitating cooperation between states in the liquidation process, and by extending the scope of personal jurisdiction over debtors of the insurer outside this State; and
(6) Regulation of the insurance business by the impact of the law relating to delinquency procedures and substantive rules on the entire insurance business. [L 1987, c 347, pt of §2]