SB 127-INSURER'S USE OF CREDIT HISTORY/SCORES  9:01:05 AM CHAIR STOLTZE announced the consideration of SB 127. SENATOR HUGGINS noted that previous questions by members would be addressed. He referred to the "Arkansas model" and said about 34 percent of people benefitted from credit scoring, 38.9 percent were held harmless and the remainder had a negative impact. He said the Extraordinary Life Circumstances and Events Provision has a large safety net. 9:02:29 AM CHAIR STOLTZE asked if anyone wished to testify. Finding no one, he closed public testimony. 9:03:02 AM LAUREN RASMUSSEN, Staff, Senator Huggins, Alaska State Legislature, Juneau, Alaska, offered to review SB 127. CHAIR STOLTZE requested that Ms. Wing-Heier address questions previously asked by committee members. 9:03:51 AM LORI WING-HEIER, Division of Insurance, Department of Commerce, Community, and Economic Development, Juneau, Alaska, addressed questions related to SB 127 posed in the previous committee meeting. She said a question was asked whether credit is used to assess individual health insurance policies. She explained that credit scoring is not allowed as a factor in underwriting individual health insurance under the Affordable Care Act or under state law. Senator Wielechowski had asked about the impact of credit scoring on low income individuals and in the case of race. She reported that some data has shown that low-income individuals have been impacted to some extent. She stated that there is not enough data to show that race is a factor. She cited several studies that agreed on those results. 9:05:42 AM CHAIR STOLTZE said there was a zero-fiscal note which will reduce the department's work load. He requested clarification. MS. WING-HEIER explained that the zero-fiscal note reflects a reduced work load due to consumer and broker calls regarding credit scoring. SENATOR WIELECHOWSKI noted complaints and concerns from the insurance industry on consumer rate increases upon renewal, even for those with good credit. He pointed out that the insurance company can waive that provision. MS. WING-HEIER answered correct, but specified that the issue has been finding a new insurer or having to do the waiver itself. SENATOR WIELECHOWSKI summarized that the insurance company can offer the waiver. MS. WING-HEIER answered correct. CHAIR STOLTZE asked for the administration's position on the bill. MS. WING-HEIER said the administration is neutral. 9:08:37 AM SENATOR HUGGINS moved to report SB 127 from committee with individual recommendations and attached zero-fiscal note. There being no objection, the motion carried. 9:08:47 AM CHAIR STOLTZE announced that without objection, SB 127 was reported from the Senate State Affairs Standing Committee.