Hawaii Hurricane Relief Fund aims for June rollout, plans reinsurance and servicing model around $170M seed fund

The Hawaii Hurricane Relief Fund board told the Joint Committee on Commerce and Consumer Protection on April 3, 2025, in Conference Room 329 that it plans to issue its first hurricane supplemental policies in June 2025 and is working to finalize a servicing model and a reinsurance program to extend the fund's claim‑paying capacity.

The HHRF board, which convened in July 2024 and retained Aon as a consultant, said it will use the existing $170,000,000 as initial capital and will seek reinsurance and a servicing administrator to underwrite, bind and adjust policies. Board vice chair Mike Nonaka introduced the presentation and members from Aon and the Hawaii Insurance Division joined the briefing.

Why it matters: condominium associations across Hawaii have faced sharply higher premiums and limited markets for hurricane coverage. The HHRF's plan is intended to provide supplemental hurricane limits that attach above whatever admitted carriers will provide, with the stated goals of expanding capacity, facilitating real estate transactions and helping associations meet mortgage investor requirements.

Aon and HHRF work plan and timeline Aon told the committees it was retained to build a long‑term structure for the HHRF and to confirm findings from the condo and property insurance task force. The board listed three near‑term tasks for April: finalize the servicing model and decide whether to hire a service administrator or staff underwriting/claims functions in‑house; approve a reinsurance program structure and marketing plan; and file underwriting guidelines, policy forms and a rating manual with the Hawaii Insurance Division for regulatory approval. The board said those filings would be submitted in mid‑April and that, on the current timeline, HHRF would issue its first policy in June 2025.

Target market and product design HHRF officials said the initial product would prioritize fire‑resistive, concrete high‑rise condominium associations with demonstrated maintenance standards while keeping a path open to expand to low‑rise and wood‑frame associations in a Phase 2. A slide used in the briefing showed an analytical attachment point that would let the HHRF provide excess hurricane limits above admitted carriers' coverage. The presentation used a $350,000,000 per‑association cap in modeling that Aon said