Date: 04/15/2014

Final
BILL SUMMARY for SB14-092

HOUSE COMMITTEE ON JUDICIARY

Votes: View--> Action Taken:
Refer Senate Bill 14-092 to the Committee on ApproPASS



01:46 PM -- SB14-092

The committee was called to order. A quorum was present. Representative Williams, prime sponsor, presented Senate Bill 14-092, concerning the creation of the crime of insurance fraud. Representative Williams explained the effect of the bill and discussed its need. She noted the stakeholders involved in creating the legislation. The following persons testified regarding Senate Bill 14-092:

01:50 PM -- Mr. Sean Clifford, representing the Attorney General's Office, testified in support of the bill. Mr. Clifford discussed the work of the Insurance Fraud Unit within the Department of Law, and costs associated with insurance fraud. Mr. Clifford discussed trends in insurance fraud, and explained how Senate Bill 14-092 will address certain types of insurance fraud. Mr. Clifford noted the stakeholders involved in crafting the legislation, and the issues addressed by these stakeholders as they worked on the bill. Discussion ensued regarding changes made to the mens rea requirements of the bill in the Senate. Mr. Clifford responded to questions regarding protections in the bill for those who are subjected to over-billing as a form of insurance fraud. Discussion followed regarding the reasons that insurance fraud has not already been enshrined in law. Mr. Clifford responded to further questions regarding the improved ability of the Insurance Fraud Unit to prosecute insurance fraud under the bill, and the use of theft statutes to prosecute insurance fraud under current law.


02:01 PM

Mr. Clifford responded to questions regarding the factors that determine the application of misdemeanor or felony sentences under Senate Bill 14-092.

02:04 PM -- Mr. Steve Hassoldt, representing State Farm Insurance, testified in support of the bill. Mr. Hassoldt discussed his work in investigating insurance fraud for his company, and trends in insurance fraud. Mr. Hassoldt noted the types of fraudulent claims made to State Farm in recent years, and the steps taken by the company to ensure insurance fraud cases are prosecuted. Mr. Hassoldt discussed potential cost savings as a result of the bill's passage. Mr. Hassoldt responded to questions regarding cooperation that takes place between State Farm and the Attorney General's Office while prosecuting fraud. Discussion ensued regarding potential insurance premium reductions as a result of the bill's passage, and the intent element in the bill.


02:16 PM

No amendments were offered to Senate Bill 14-092. Representative Williams provided closing remarks in support of the bill.
BILL:SB14-092
TIME: 02:17:20 PM
MOVED:Court
MOTION:Refer Senate Bill 14-092 to the Committee on Appropriations. The motion passed on a vote of 11-0.
SECONDED:Salazar
VOTE
Buckner
Yes
Court
Yes
Gardner
Yes
Lawrence
Yes
McLachlan
Yes
Murray
Yes
Pettersen
Yes
Salazar
Yes
Waller
Yes
Lee
Yes
Kagan
Yes
Final YES: 11 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS



02:19 PM

The committee recessed.