HI HB917

Amends Section 432:1-407 of Hawaii Revised Statutes regarding net worth requirements for mutual benefit societies.

Requires mutual benefit societies to maintain initial net worth of $2,000,000 before receiving a certificate of authority from the commissioner.

Establishes ongoing minimum net worth as the greater of: $2,000,000; two percent of gross annual premium revenues on the first $150,000,000 and one percent on revenues exceeding $150,000,000; or eight percent of gross annual health care expenditures and operating expenses.

Clarifies that net worth calculations are based on "gross" annual premium revenues and gross annual health care expenditures and operating expenses.

Effective date: July 1, 2050.