HB 3052 - DIGEST

(DIGEST AS PASSED LEGISLATURE)

     Provides that the house financial institutions and insurance committee and the senate financial institutions, insurance and housing committee shall jointly study insurance compliance self-evaluative audits and make recommendations on whether a limited privilege should be authorized in Washington state to encourage such audits.  The chairs of the two committees shall oversee the study.  If the recommendations include authorizing the limited privilege, the study shall develop a bill for consideration in the 1999 legislative session.

     Directs the two committee chairs to organize a study group that includes the voluntary participation of the insurance industry, the office of the insurance commissioner, and other interested parties.  The ranking minority members of each committee shall also participate in the study group.

     Provides that the house office of program research and senate committee services shall staff the study group.

     Provides that the recommendations of the study group are due by December 31, 1998.

VETO MESSAGE ON HB 3052

                   April 2, 1998

To the Honorable Speaker and Members,

  The House of Representatives of the State of Washington

Ladies and Gentlemen:

     I am returning herewith, without my approval, House Bill No. 3052 entitled:

"AN ACT Relating to self-audits by insurers;"

     As originally introduced, HB 3052 would have created certain privileges and protections for self-audits performed by insurance companies, in court and in regulatory proceedings.  This bill as it passed the Legislature, however, directs the relevant committees of the House of Representatives and Senate to study this issue and make recommendations for consideration in the 1999 legislative session.

     HB 3052 is unnecessary because it concerns only the internal operations of the Legislature, which do not need the authority of this bill to be conducted.  If the Legislature chooses to study this issue, it can do so.  In the interests of statutory economy, and out of respect for the separate branches of government, I have vetoed HB 3052.

     For these reasons, I have vetoed House Bill No. 3052 in its entirety.

                   Respectfully submitted,

                   Gary Locke

                   Governor