Bill > SB2947

This bill requires residential property insurers to be more transparent about how they assess wildfire risk, mandating that they disclose wildfire risk scores to policyholders and applicants upon request and at renewal, nonrenewal, and application stages. Insurers using wildfire risk models, which are tools to estimate potential losses from catastrophic events like wildfires, or other scoring methods must file information about these models with the Insurance Commissioner and demonstrate how they incorporate property-level and community-level wildfire mitigation efforts, which are actions taken to reduce wildfire risk. If these mitigation efforts are not included in the insurer's risk models, the bill requires insurers to offer discounts or other premium reductions. It also establishes a standardized notice process for wildfire risk scores and mitigation discounts, along with an appeal process for policyholders and applicants to challenge these determinations. Furthermore, insurers are authorized to provide benefits or premium reductions for policyholders who take wildfire risk-preventative measures, such as creating defensible space or using fire-resistant building materials, and the bill clarifies how these benefits and premium increases are treated under existing laws. Finally, the bill mandates that the Insurance Commissioner report to the Legislature on the implementation of these provisions and appropriates funds for the Department of Commerce and Consumer Affairs to carry out these new requirements.

Government Affairs

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=2947&year=2026