Bill > HCR172

This concurrent resolution urges the Federal Housing Finance Agency (FHFA) to direct Fannie Mae and Freddie Mac to modify their insurance guidelines for condominiums. Specifically, the resolution seeks to repeal or reduce the current requirement in Guide Section 4703.2, which mandates that condominium master insurance policies cover 100% of the replacement cost value for all project improvements and common elements. The background explains that this requirement has created significant challenges for Hawaii's approximately 2,000 condominium associations, representing nearly 200,000 units, by making it difficult and expensive to obtain insurance coverage. Many associations are now unable to secure affordable insurance or mortgage financing due to these strict guidelines. The resolution argues that repealing or reducing these insurance coverage requirements would help ease the financial burden on condominium associations and unit owners by lowering insurance costs and improving the marketability of condominium units. The resolution requests that certified copies be sent to the Director of the FHFA, the President of Fannie Mae, and the CEO of Freddie Mac to formally communicate this request.

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https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=HCR&billnumber=172&year=2025