Opinion ID: 2518920
Heading Depth: 2
Heading Rank: 1

Heading: Background on the EUTF

Text: The EUTF was established to provide a single health benefits delivery system for State and county employees, retirees, and their dependents. Hawai`i Revised Statutes (HRS) §§ 87A-15,-31 (Supp.2001). [1] It replaced the Hawai`i Public Employees Health Fund (PEHF) on July 1, 2003. Act 88 of the 2001 Session Laws of Hawai`i, partially codified as HRS chapter 87A, sets forth the statutes governing the EUTF. It is administered by a board of ten trustees, appointed by the governor, who all serve without compensation. HRS §§ 87A-5,-8 (Supp.2001). [2] Five trustees represent the employee-beneficiaries and five trustees represent public employers. HRS § 87A-5. [3] The EUTF Trustees were responsible for, inter alia, establishing the health benefits plan or plans. HRS § 87A-16 (Supp.2001). [4] As mandated by HRS § 87A-25(4) (Supp. 2001), [5] the EUTF procured and maintained fiduciary liability insurance and public officials and employment practices liability insurance. The EUTF is the named insured under the following policies underwritten by National Union Fire Insurance Company of Pittsburgh, Pennsylvania: (1) a Public Officials and Employment Practices Liability Policy in the amount of $3,000,000.00; and (2) a Fiduciary Liability Policy in the amount of $10,000,000.00. The policies cover the EUTF and its trustees, and the second policy also extends coverage to the State.