HI HB2107

Requires the State auditor to conduct a feasibility study on establishing a captive insurance company to manage Hawaii's property and casualty insurance risks.

Auditor must examine the proposed company's purpose, initial capital, funding, premium rates, expenses, financial projections for five years, regulatory compliance with Hawaii Revised Statutes section 431:6-201, investment philosophy, and pro forma balance sheets.

Auditor shall consult with the comptroller, director of finance, insurance commissioner, and experts in captive insurance company formation and management during the study.

Auditor must submit findings and recommendations to the legislature no later than twenty days before the 2015 regular session convenes.

Appropriates funds from general revenues for fiscal year 2014-2015 to conduct the feasibility study, effective July 1, 2014.