HB 398-LIFE AND HEALTH INSURANCE GUARANTY ASSN                                                                    
                                                                                                                                
CHAIRMAN MACKIE announced HB 398 to be up for consideration.                                                                    
                                                                                                                                
JOHN MANLEY,  staff to  Representative Harris,  prime sponsor  of HB                                                            
398, explained that HB  398 is very similar to HB 310 except that it                                                            
applies   to  the  Alaska   Life  and   Health  Insurance   Guaranty                                                            
Association  (ALHIGA).    It adopts  a  model  act produced  by  the                                                            
National Association  of Insurance Commissioners and  updates Alaska                                                            
statutes to make  them consistent and on par with  other states.  HB                                                            
398  will ensure  that  the  ALHIGA benefits  are  implemented  more                                                            
promptly,  efficiently, and  at a lower cost  to policy holders;  it                                                            
clarifies  ambiguous language  that could  promote lawsuits;  and it                                                            
provides added  benefits to policy holders by extending  it to other                                                            
people.   He  noted Mr.  George  and Mr.  Thomas were  available  to                                                            
answer questions.                                                                                                               
                                                                                                                                
SENATOR  LEMAN asked  if  HB 398  does not  apply  to the  fraternal                                                            
benefit societies because they do not belong to ALHIGA.                                                                         
                                                                                                                                
MR. MANLEY said that is correct.                                                                                                
                                                                                                                                
SENATOR LEMAN moved to  report HB 398 from committee with individual                                                            
recommendations and its  accompanying zero fiscal note.  There being                                                            
no objection, the motion carried.