Hawaii SB 2777: RELATING TO INSURANCE.

Bill Text

S.B. NO. 2777
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
THE SENATE
THIRTY-THIRD LEGISLATURE, 2026
STATE OF HAWAII
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ JAN 2 3 2026
A BILL FORAN ACT
RELATING TO INSURANCE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that the cost of property
insurance continues to increase in light of changing market
conditions, including climate change and climate-related
impacts.
The legislature also finds that it is in the interest of
consumers to have access to complete information when deciding
between property insurance options, enabling them to make
informed decisions in an increasingly expensive marketplace.
Accordingly, the purpose of this Act is to:
(1) Establish a disclosure requirement for property
insurers to provide the insurance commissioner with
certain information concerning the insurer's payment
of claims in the previous calendar year;
(2) Require the insurance division to make the disclosed
information available to the public; and
(3) Provide for enforcement, fines, attorneys' fees, and
costs for violations of the disclosure requirement.
2026-0509 SB SMA.docx
■■■■■Im

1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
2 S B. NO. 2-77/
SECTION 2. Chapter 431, Hawaii Revised Statutes, is
amended by adding a new part to article 10E to be appropriately
designated and to read as follows:
"PART PAYMENT OF CLAIMS DISCLOSURES
§431:10E-A Payment of claims disclosure; retention of
records. (a) Any insurer operating in the State that provides
property insurance as defined in section 431:1-206 shall, within
three months following the completion of the calendar year,
submit to the commissioner a full and accurate written
disclosure of the following information for that calendar year:
(1) The total number of claims filed with the insurer;
(2) The total number of filed claims that were approved to
receive full payment;
(3) The total number of filed claims that were approved to
receive partial payment;
(4) For claims approved for full or partial payment, the
total number of those claims for which payments had
been fully dispersed at the time of the disclosure;
and
(5) Any other reasonable disclosure that the commissioner
determines appropriate to effectuate this part.
2026-0509 SB SMA.docx 2

Page 3 SB. NO.27]]
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
(b) All disclosures submitted pursuant to this section
shall be in a form prescribed by the commissioner.
(c) All disclosures submitted pursuant to this section
shall be retained by the insurance division for years and
shall be made available for review by any individual upon
request.
§431:10E-B Publication. (a) The insurance division shall
make public the information received pursuant to section
431:10E-A as follows:
(1) On its website in a conspicuous location;
(2) In-person at its offices; and
(3) Through any other means or platforms deemed
appropriate by the commissioner to effectuate this
part.
(b) The information published pursuant to subsection (a)
shall be made available in a format that aggregates the
information disclosed by all insurers and shall enable a person
viewing the information to identify each insurer and related
data for the relevant reporting period.
§431:10E-C Violations. (a) For each day that an insurer
is in violation of the disclosure requirement pursuant to this
2026-0509 SB SNA.docx
miiiiiiiiiniiMiiii

Page 4 S.B. NO.2777
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
part, the insurance division shall fine the insurer $1,000 per
day; provided that the maximum fine shall not exceed $50,000.
(b) An insurer in violation of this part shall be
responsible for any attorneys' fees and costs incurred by the
department of commerce and consumer affairs or the attorney
general to bring an administrative or civil action to enforce
this part.
(c) An insurer in violation of this part may be subject to
any other administrative or civil action, as set forth under any
relevant part of this chapter."
SECTION 3. This Act does not affect rights and duties that
matured, penalties that were incurred, and proceedings that were
begun before its effective date.
SECTION 4. This Act shall take effect upon its approval.
INTRODUCED BY: 992_______________________
2026-0509 SB SMA.docx
HHHHDEHAHMu

S.B. NO.2777
Report Title:
DCCA; Insurance Division; Insurance Commissioner; Property
Insurance; Payment of Claims; Disclosure; Records; Publication;
Violations; Penalties
Description:
Requires property insurers to disclose to the Insurance Division
of the Department of Commerce and Consumer Affairs certain
information regarding payment of claims for the prior year.
Requires the Insurance Division to retain and make the
information publicly available. Establishes penalties.
The summary description of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
2026-0509 SB SMA.docx