HB253 • 2026

RELATING TO INSURANCE.

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor: MATAYOSHI, CHUN
Last action: 2025-12-08
Official status: Carried over to 2026 Regular Session.
Effective date: Not listed

Plain English Breakdown

The official source does not provide details on how rates will be determined or enforced after six years, nor does it specify consequences if the three-year coverage requirement is not met.

Insurance Rates for Condominiums

This bill allows authorized insurers to offer building and hurricane damage insurance for condominium buildings at a lesser rate than the previous surplus lines insurance policy.

What This Bill Does

Allows admitted insurers in the state to provide building and hurricane damage insurance for condominiums at a lower cost compared to existing surplus lines insurance policies, provided that the condominium association has been covered by a surplus lines insurer for no less than three years.

Who It Names or Affects

Condominium associations and their board of directors
Admitted insurers offering building and hurricane damage insurance for condominiums

Terms To Know

Surplus lines insurer: An insurer that provides coverage not available from admitted insurers in the state.
Admitted insurer: An insurance company licensed to do business within a particular state and subject to its regulations.

Limits and Unknowns

The bill does not specify what happens if a condominium association has been covered by a surplus lines insurer for less than three years.
It is unclear how the new rates will be determined or enforced after six years.
The effective date of July 1, 3000, suggests this may be a placeholder and needs to be updated.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

HD1

Hawaii published version HD1

Plain English: This amendment allows admitted insurers to offer condominium master insurance or hurricane insurance at a lower rate than surplus lines insurers, but with certain conditions.

Admitted insurers can now offer condominium master insurance or hurricane insurance policies at up to 50% less than the rates charged by surplus lines insurers if the association has been covered by a surplus lines insurer for at least three years.
The lower rate offered by admitted insurers is limited to six years.
Admitted insurers may require associations to deposit money in replacement reserves or perform maintenance and repairs.

The amendment specifies an effective date of July 1, 3000, which seems unusual and might be a placeholder for a future date.

Bill History

2025-12-08 D
Carried over to 2026 Regular Session.
2025-02-07 H
Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN with none voting aye with reservations; none voting no (0) and Representative(s) Cochran, Kong, Ward excused (3).
2025-02-07 H
Reported from CPC (Stand. Com. Rep. No. 254) as amended in HD 1, recommending passage on Second Reading and referral to FIN.
2025-01-30 H
The committee on CPC recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 10 Ayes: Representative(s) Matayoshi, Chun, Ilagan, Ichiyama, Iwamoto, Kong, Lowen, Marten, Tam, Pierick; Ayes with reservations: none; Noes: none; and Excused: none.
2025-01-28 H
Bill scheduled to be heard by CPC on Thursday, 01-30-25 2:00PM in House conference room 329 VIA VIDEOCONFERENCE.
2025-01-21 H
Referred to CPC, FIN, referral sheet 1
2025-01-17 H
Introduced and Pass First Reading.
2025-01-16 H
Pending introduction.

Official Summary Text

RELATING TO INSURANCE.
Insurance; Condominiums; Rates; Surplus Lines Insurance; Admitted Insurers
Allows authorized insurers in the State to offer building and hurricane damage insurance for condominium buildings at a lesser rate than the building's prior surplus lines insurance policy for the same coverage. Effective 7/1/3000. (HD1)

Current Bill Text

Read the full stored bill text

HB253

HOUSE OF REPRESENTATIVES

H.B. NO.

253

THIRTY-THIRD LEGISLATURE, 2025

STATE OF HAWAII

A BILL FOR AN ACT

relating
to insurance
.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

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SECTION
1.
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Chapter 431, Hawaii Revised Statutes,
is amended by adding a new section to article 14 to be appropriately designated
and to read as follows:

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"
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431:14-
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Exception for condominium master insurance or condominium master
hurricane insurance.
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(a)
�

Notwithstanding any provision of this article to the contrary, in the
event that an existing condominium master insurance policy or condominium
master hurricane insurance policy procured by a condominium association or its
board of directors, whether wholly or partially, is issued by a surplus lines
insurer, an admitted insurer may offer such policies at an amount of no more
than fifty per cent of the amount charged by the surplus lines insurer;
provided that:

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(1)
�
The condominium association has been
covered by a condominium master insurance policy or condominium master
hurricane insurance policy, whether wholly or partially, issued by a surplus
lines insurer for no less than the preceding three years;

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(2)
�
The admitted insurer shall not charge the
condominium association the amount authorized under this section for longer
than six years; and

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(3)
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The admitted insurer may require the
condominium association to deposit a specific amount in the association's
replacement reserves fund or to make certain maintenance and repairs.

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(b)
�

As used in this section, "condominium association" has the
same meaning as association as defined in section 514B-3.
"

����
SECTION
2.
�
New statutory material is
underscored.

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SECTION 3.
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This Act shall take effect upon its approval.

INTRODUCED BY:

_____________________________

Report Title:

Insurance;
Condominiums; Rates; Surplus Lines Insurance; Admitted Insurers

Description:

Allows
authorized insurers in the State to offer building and hurricane damage
insurance for condominium buildings at a lesser rate than the building's prior
surplus lines insurance policy for the same coverage.

The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.