|
THE SENATE |
S.B. NO. |
1128 |
|
THIRTY-THIRD LEGISLATURE, 2025 |
S.D. 1 |
|
|
STATE OF HAWAII |
|
|
|
|
|
|
|
|
||
|
|
||
A BILL FOR AN ACT
RELATING TO INSURANCE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
"§431:10E- Claims for additional living expenses under homeowners
insurance policies; states of emergency. (a) In the event of a loss under a
homeowners insurance policy issued or renewed on or after January 1, 2026, for
which the insured has made a claim for additional living expenses, the insurer
shall provide the insured with a list of items that the insurer believes may be
covered under the policy as additional living expenses. The list may include a statement that the
list is not intended to include all items covered under the policy, but only
those that are commonly claimed. Each
insurer may use a list developed by the insurance commissioner.
(b)
If a covered loss occurs during a state of emergency declared pursuant
to section 127A-14, coverage for additional living expenses shall be for a
period of not less than twenty‑four months from the inception of the loss;
provided that the coverage for additional living expenses shall be subject to
other policy provisions. An insurer
shall grant an extension of up to twelve additional months, for a total of
thirty-six months, if an insured acts in good faith and is reasonably delayed
due to a lack of necessary construction materials or available contractors to
perform the necessary work. Additional six-month
extensions shall be provided to policyholders for good cause.
(c)
No policy that provides coverage for additional living expenses shall
limit the policyholder's right to recovery if the insured premises is rendered
uninhabitable by a covered peril. An
insurer may, in lieu of making living expense payments, provide a reasonable
alternative remedy that addresses the property condition that precludes
reasonable habitation of the insured premises.
The additional living expenses coverage pursuant to this section shall
not apply to any utility's public safety power shutdown event involving the
deenergization of a portion of the electrical distribution or transmission
system to reduce the risk of wildfire ignition.
(d) For a loss that is otherwise not subject to
subsections (b) or (c), in the event of a state of emergency declared pursuant
to section 127A-14 that is related to a covered peril and accompanied by an
order of civil authority restricting access to the applicable premises,
additional living expenses coverage shall be provided for at least two
weeks. Additional two-week extensions
shall be provided to a policyholder for good cause; provided that each
extension shall be subject to any other applicable policy provision."
SECTION 2. New statutory material is underscored.
SECTION 3. This Act shall take effect on July 1, 2050.
Report Title:
Property Insurance; Claims for Additional Living Expenses; Homeowners Insurance Policies; States of Emergency
Description:
Establishes requirements for insurers relating to claims for additional living expenses under homeowners insurance policies, including situations where losses are incurred during a state of emergency. Effective 7/1/2050. (SD1)
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.