Hawaii Senate Bill SR140

Hawaii 2022 Regular Session

• Introduced: 3/11/22
• Refer: 3/16/22

Caption

Requesting The Legislative Reference Bureau To Conduct A Financial Analysis Of The Managed Care Organizations That Administer The Employer-union Health Benefits Trust Fund By Auditing The Amounts Paid For Health Care And Amounts Paid For Administrative Services.

Impact

The resolution reflects Hawaii's commitment to maintaining high standards of healthcare access and affordability through responsible financial oversight of insurance organizations. It recognizes the ongoing challenges posed by rising healthcare costs and the burdens placed on healthcare providers by complex administrative requirements. The analysis is expected to provide insights that could lead to reforms designed to enhance the efficiency of healthcare delivery and reduce costs for both providers and patients.

Summary

Senate Resolution 140 requests the Legislative Reference Bureau to conduct a financial analysis of the managed care organizations that administer the Employer-Union Health Benefits Trust Fund. The purpose of this analysis is to audit the amounts paid for healthcare services and the administrative costs associated with these services. By addressing the financial operations of these organizations, the bill aims to ensure that healthcare remains accessible and affordable for beneficiaries of the Fund.

Contention

Notably, the resolution highlights the impact of high administrative costs on healthcare access, suggesting that the current competitive insurance model may contribute to barriers in patient care. This concern is particularly salient given the COVID-19 pandemic, which has exacerbated the situation for many residents by leading to job losses and insurance coverage gaps. The potential for legislative recommendations stemming from the analysis may spark further debates on healthcare reform and insurance practices in Hawaii.