SB 108-INSURANCE  CHAIR CON BUNDE announced SB 108 to be up for consideration. SENATOR BEN STEVENS moved conceptual Amendment 1. SENATOR ELLIS objected for an explanation. SENATOR BEN STEVENS explained that Amendment 1 adds new sections regarding bid fixing and a director's ability to require written reports from people for reasonable cause. This is a check and balance measure for the director to use. CHAIR BUNDE asked how "reasonable cause" is defined. SENATOR STEVENS answered that using "reasonable cause" is a lesser-degree compromise to the legal term, "probable cause." 1:38:10 PM SENATOR BETTYE DAVIS joined the committee. SENATOR JOHNNY ELLIS asked if the drafter suggested that. 1:38:24 PM SENATOR BEN STEVENS replied that the drafter did suggest that language, because it gives the director access to the information she needs to make a determination. SENATOR ELLIS said he thought the director already had that power. SENATOR BEN STEVENS responded that she does. CHAIR BUNDE asked Ms. Hall if Amendment 1 supports what already happens. 1:39:25 PM LINDA HALL, Director, Division of Insurance, supported Amendment 1 and explained that probable cause is a higher standard than reasonable cause, but explained that she didn't want to work with that kind of legal concept or high of a standard. "We certainly do have authority to investigate. We do that regularly...." CHAIR BUNDE asked if there had been complaints about investigations being done for unreasonable cause. MS. HALL replied that there have been pleadings to criminal charges and a lot of allegations in the insurance industry about bid rigging and improper steering of business for the financial gain of the individual. She initiated an investigation to make sure she knew what was occurring in the Alaska marketplace and didn't find any violations. Several national brokers have recently paid fines amounting to $850 million, but she is not aware of other complaints or broad-reaching investigations. She pointed out that one of her roles as director of her division is compliance with statute before there is consumer harm. 1:44:30 PM CHAIR BUNDE asked her how this amendment would change her procedures. MS. HALL replied that Alaska has a small marketplace and it doesn't have the clout to do what some of the large national brokers in New York did. "I would probably tailor what I did a little differently with this, but just from prior experience, also." CHAIR BUNDE asked if this amendment would have prevented her from moving forward. MS. HALL replied no. 1:45:59 PM SENATOR ELLIS removed his objection and Amendment 1 was adopted. SENATOR BEN STEVENS moved CSSB 108(L&C) from committee with individual recommendations. Senators Ellis, Ben Stevens, Davis and Chair Bunde voted yea; and CSSB 108(L&C) moved from committee.