Hawaii Acts To Protect Policy Buyers
June 20, 2008

Governor Linda Lingle has today approved the draft law for the law to protect people - especially the elderly and people with disabilities or chronic illnesses and the administration - actions of the purchase and sale of life insurance. Although the new law provides for a new series of measures to protect consumers, said the governor that does not go far enough to unscrupulous people and other disadvantaged groups, in which they are involved, because of their age or health. Administration the search for additional protection and control of the industry in 2009 the meeting of the legislation.

HB94 HD1 SD2 CD1 is a question of regulation of life insurance - known as "viatical, or the regulation of life - if the proprietor of May, when the life requires money, because this office, or a chronic Illness, the policy sold, a broker, this part of the rule that the death. Broker sold its shares to investors in politics, the collection of life when a person dies.  Solution Viatical contracts are legal , But the people who have such agreements in the financial benefits May subject of unexpected costs of the transaction tax, the loss of property, the cost for Justice and the loss of privacy of their medical data.

This bill is that the Act 177, the Ministry of Trade and consumers (DCCA) and the licensing of the insurance negotiations with the seller, a solution to a life DCCA, and provides an opportunity for study and research by the insurance brokers and writer lives in these operations. "The new law Bassa our efforts to protect the people in Hawaii, in particular the coverage and the other citizens of fraud," said the governor Linglé. "Even if the law 177 is reducing the fraudulent misuse of the rules governing the management of life in my new draft law contains a number of initiatives, which initially proposed, but the legislature must be rejected, it brings greater security and control.

Administration also called for a ban, an investor, the viatical regulation, five years after the first institution of politics, its policy to buy. The five years the ban to ensure that policies are not for resale purchased. should also contribute to reducing the yield, because the investor must wait longer to collect. law to 177, a ban of two years. The law stipulates that the Commissioner of Insurance, the legislator in the years 2009 and 2010, the rule of law and, the effectiveness of the changes recommended. The Act 177 in force immediately, and it ends on June 30, 2010.

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