Bill > SB166

This bill modifies Hawaii's insurance law to allow captive insurance companies (specialized insurance companies that are typically created to provide coverage for a parent company or group) to apply for a certificate of exemption from routine state insurance examinations under specific conditions. To qualify, a captive insurance company must not be a risk retention captive insurance company, must have already completed at least one previous examination, must be in continuous compliance with financial reporting requirements, and must demonstrate good cause for seeking an examination exemption. The Insurance Commissioner has the discretion to issue and renew these exemption certificates, which would be valid for up to five years. Importantly, the Commissioner can revoke the certificate at any time for good cause, and companies can apply for renewal up to six months before their current certificate expires. The bill maintains the state's regulatory oversight by allowing the Commissioner to still conduct examinations if deemed necessary, and preserves the confidentiality of examination documents while ensuring that the regulatory authority can share information with appropriate law enforcement and insurance regulatory agencies.

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https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=166&year=2026