Bill > HB2379

This bill aims to strengthen insurance fraud prevention and enforcement by expanding the definition of insurance fraud, particularly during declared emergencies, and by introducing new offenses such as "claim harvesting" (soliciting claims through deceptive practices) and "post-loss assignment abuse" (misusing assignments of insurance benefits). It also clarifies prohibitions against "litigation financing arrangements" that support fraudulent claims and enhances penalties for insurance fraud, including increased fines and potential license sanctions. The bill authorizes the Insurance Commissioner to establish a centralized database for tracking insurance fraud data and to share this information with authorized agencies, while also protecting sensitive data. Furthermore, it mandates that the Insurance Fraud Investigations Branch use "fraud analytics" or "predictive analytics" (statistical modeling and AI to identify fraud patterns) to prioritize investigations, but not as the sole basis for action. The bill also introduces protections for whistleblowers who report suspected insurance fraud in good faith and requires insurers to report suspected fraud. Finally, it updates reporting requirements for the Insurance Commissioner to the Legislature to include details on fraud investigations and outcomes, and appropriates funds to support these efforts.

Business and Industry

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=HB&billnumber=2379&year=2026