S.B. 1096 Summary

• Establishes comprehensive requirements for public adjuster contracts, including mandatory written terms covering services, compensation, expenses, bonding status, insured information, and adjuster credentials with a three-business-day rescission right for insureds.

• Prohibits public adjusters from requiring checks in their name only, imposing collection costs or late fees, or precluding insureds from pursuing civil remedies; restricts percentage-based commissions when insurers pay or commit to pay policy limits within 72 hours of loss reporting.

• Imposes "good faith, honesty, and equity" conduct standards on limited lines producers for motor vehicle rentals, self-service storage facilities, and other limited license holders.

• Authorizes the insurance commissioner to waive or modify fees by order for risk retention groups, purchasing groups, pharmacy benefit managers, and various insurance entities upon showing of good cause.

• Modifies premium tax payment procedures to use the National Association of Insurance Commissioners' Online Premium Tax system, reduces Hawaii Joint Underwriting Plan board membership, lowers minimum nonforfeiture interest rates for annuities, and clarifies that wellness program rewards do not constitute prohibited rebates.