Honolulu Consumer Price Index up 2.8%

HONOLULU - Honolulu's Consumer Price Index increased 2.8 percent during the first half of the year.

That's according to the U.S. Bureau of Labor Statistics, which says Honolulu's increase was larger than the 2.5 percent average increase in consumer prices among 10 cities surveyed.

Rising electricity and gasoline costs were the main drivers of an increase in consumer prices during the January-through-June period. Electricity rose 16.8 percent from the year-earlier period, while gasoline increased 7.6 percent.

The University of Hawaii Economic Research Organization is forecasting inflation of 3 percent in 2012, 2.5 percent next year and 2.9 percent in 2014.

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$9.4M 2nd quarter net gain for HMSA

HONOLULU - Hawaii's largest health insurer says it spent 91 percent of member dues it collected in the second quarter of the year on health care.

Hawaii Medical Service Association said Wednesday that it posted a $9.4 million net gain, up from $5.82 million in the second quarter of 2011.

HMSA said an underwriting gain of $4.20 million plus a net investment gain of $4.56 million was added to HMSA's reserve.

At the end of the quarter, HMSA had nearly 700,000 members.

Another major Hawaii insurer reported Thursday an operating loss of $1.2 million for the quarter. Kaiser Foundation Health Plan Inc. Hawaii Region said investment income of $1 million partially offset the operating loss, resulting in a net loss of $200,000 for the quarter.