Bill > SB2950

This bill clarifies and expands the authority of captive insurance companies, which are specialized insurance companies formed to insure the risks of their owners or affiliates, to underwrite, reinsure, or otherwise assume catastrophic property and casualty risks, meaning those involving the potential for severe, extraordinary, or aggregate losses that are difficult to insure through standard markets, such as those from natural disasters like hurricanes or earthquakes. This expansion is subject to the approval and ongoing oversight of the Insurance Commissioner, who is empowered to set minimum standards for these captive insurers, including capital and surplus requirements, and to require specific information in reports to ensure solvency and market stability. The bill aims to strengthen the insurance market by providing regulated alternatives for managing significant risks, particularly for commercial, industrial, institutional, governmental, or nonprofit entities, and does not apply to personal insurance unless specifically approved.

Business and Industry

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=2950&year=2026