HI HCR173

Suggests deferral of H.B. No. 2529 and requests a proposal for orderly winding down of Hawaii's state health insurance exchange (Hawaii Health Connector) in favor of the federal exchange.

Directs Hawaii Health Connector and Insurance Division to submit a plan within 90 days outlining transition to the Federal Exchange while preserving the Prepaid Health Care Act.

Proposes converting Hawaii Health Connector's future role to strictly providing consumer information and education rather than operating as a state exchange.

Cites Hawaii Health Connector's inability to achieve self-sustainability by January 1, 2015 deadline due to Hawaii's already-high insurance coverage rates from the Prepaid Health Care Act.

Notes that spending state funds to subsidize the Connector would be fiscally imprudent and that insurance surcharges would ultimately increase consumer rates without solving underlying market dynamics.