SB 1575 Hawaii Senate · 2025 Regular Session

RELATING TO INSURANCE.

Summary

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 7/1/2050. (SD1)

Bill status passed 3 of 5 stages cleared

Introduction

Jan 2025

Committee Review

Mar 2025

Senate Passage

Mar 2025

House Passage

Governor

Introduced Jan 22, 2025 Last action Mar 6, 2025

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What changed between versions

SB1575 → SB1575_SD1 · 5 edits

MODERATE

This bill amends Hawaii's insurance laws to allow admitted insurers to offer lower-cost hurricane and master insurance policies to condominium associations that have been relying on expensive surplus lines insurers for at least three years. The change aims to provide financial relief to condominiums by capping the new premium at 50% of the surplus lines rate, with additional protections against long-term rate increases and requirements for reserve funding. The effective date was extended from immediate approval to July 1, 2050, giving the legislature more time to consider the measure.

Scope change

The bill applies specifically to condominium associations in Hawaii that have maintained surplus lines insurance coverage for three or more consecutive years, allowing them to access lower-cost admitted insurer options.

TIMELINE

Extended the bill's effective date from immediate approval to July 1, 2050

ELIGIBILITY

Added requirement that condominium associations must have had surplus lines insurance coverage for at least three consecutive years to qualify for the rate cap

REQUIREMENT

Added provision requiring admitted insurers to limit the rate cap benefit to no more than six years

Added authority for admitted insurers to require condominium associations to deposit funds in replacement reserves or make specific maintenance and repairs

TECHNICAL

Added metadata and formatting information from legislative tracking system including sponsor names and timestamps

Floor votes · Senate Mar 4, 2025

How they voted

25–0

Passed

Total votes 25

Mar 4, 2025

D Democratic22

22 Yea

100% Yea

R Republican3

3 Yea

100% Yea

Vote distribution

All Yea All Nay Mixed No data

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Mar 6, 2025

Committee

Referred to CPC, FIN, referral sheet 19

lower

Mar 4, 2025

Introduced

Received from Senate (Sen. Com. No. 371) in amended form (SD 1).

lower

Mar 4, 2025

Upper · Passed

Report adopted; Passed Third Reading, as amended (SD 1). Ayes, 25; Aye(s) with reservations: none . Noes, 0 (none). Excused, 0 (none). Transmitted to House.

upper

Feb 14, 2025

Upper · Passed

The committee(s) on CPN recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in CPN were as follows: 5 Aye(s): Senator(s) Keohokalole, Fukunaga, McKelvey, Richards, Awa; Aye(s) with reservations: none ; 0 No(es): none; and 0 Excused: none.

upper

Feb 10, 2025

Upper · Passed

The committee(s) on CPN has scheduled a public hearing on 02-14-25 9:30AM; Conference Room 229 & Videoconference.

upper

Jan 27, 2025

Committee

Referred to CPN.

upper

Jan 23, 2025

Introduced

Introduced and passed First Reading.

upper

Jan 22, 2025

Introduced

Pending Introduction.

upper

7 primary · 2 co-sponsors