HB 1047 Hawaii House · 2026 Regular Session

RELATING TO INTEREST ON INSURANCE PROCEEDS RELATED TO A MORTGAGE LOAN.

Summary

Requires Hawaii financial institutions, during a declared state of emergency, and mortgage servicers to determine whether insurance proceeds are to be applied to a mortgage or be placed into an interest-bearing escrow account. Prohibits charging a fee for the maintenance or disbursement of the interest earned from the interest-bearing escrow account. (HD1)

Bill status in committee 1 of 4 stages cleared

Introduction

Jan 2025

Committee Review

Floor Vote

Governor

Introduced Jan 21, 2025 Last action Dec 8, 2025

Maddy AI version diff · 1 comparison

What changed between versions

HB1047 → HB1047_HD1 · 4 edits

MODERATE

This bill revision clarifies that the requirements for handling insurance proceeds apply specifically during a declared state of emergency, rather than at all times. It restructures the rules to clearly define when funds should be applied to a mortgage versus placed in an interest-bearing escrow account, while maintaining the prohibition on charging fees for these services.

Scope change

The bill's scope is now explicitly limited to situations where a state of emergency has been declared by the governor, whereas the original text did not specify this condition.

REQUIREMENT

Added a condition that the financial institution and mortgage servicer must only follow the new insurance proceeds handling rules when a state of emergency is declared by the governor.

Restructured the decision-making process for insurance funds into a clearer sequence: first determining if funds should pay off the loan, then if they should go to an escrow account for rebuilding, and finally if excess funds should be disbursed.

Removed the specific requirement that interest earned on escrowed funds must be at a rate not less than the national money market rate, leaving the interest rate mechanism less defined in this version.

TECHNICAL

Corrected formatting and citation styles, such as updating references to the Code of Federal Regulations and removing redundant text.

Floor votes

How they voted

No floor votes recorded yet.

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Feb 14, 2025

Committee

Reported from CPC (Stand. Com. Rep. No. 674) as amended in HD 1, recommending passage on Second Reading and referral to FIN.

lower

Feb 11, 2025

Lower · Passed

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.

lower

Jan 23, 2025

Committee

Referred to CPC, FIN, referral sheet 3

lower

Jan 23, 2025

Introduced

Introduced and Pass First Reading.

lower

Jan 21, 2025

Introduced

Pending introduction.

lower

1 primary · 0 co-sponsors