HI HR50

Request the State Auditor to study and assess the impact of medical bill review costs (including pharmacy benefit manager and third party administrator costs) on Hawaii's workers' compensation system.

Medical bill review fees can represent up to 50 percent of total per claim handling fees and are often charged as allocated expenses separate from fixed claim administration fees, making their true cost impact difficult to assess.

Require the Auditor to complete the study by November 30, 2019, and submit findings to the Legislature no later than 20 days before the start of the 2020 Regular Session.

Direct that certified copies be transmitted to the Auditor, Director of Labor and Industrial Relations, and Director of Human Resources Development.