URGING THE INSURANCE DIVISION OF THE DEPARTMENT OF COMMERCE AND CONSUMER AFFAIRS AND DEPARTMENT OF THE ATTORNEY GENERAL TO CONVENE A WORKING GROUP TO IDENTIFY FEASIBLE OPTIONS AND MECHANISMS TO PROTECT THE STATE AND ITS RESIDENTS AGAINST THE EFFECTS OF CLIMATE CHANGE ON THE AVAILABILITY AND AFFORDABILITY OF INSURANCE.

2026 Regular Session Introduced by Terez Amato and 8 co-sponsors

Hawaii urges agencies to convene a working group identifying climate-resilient insurance solutions to protect residents from affordability and availability risks.

The committee on CPC recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 8 Ayes: Representative(s) Matayoshi, Grandinetti, Chun, Ilagan, Iwamoto, Kong, Pierick; Ayes with reservations: Representative(s) Marten; Noes: none; and 3 Excused: Representative(s) Ichiyama, Lowen, Tam.

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Legislative bill overview

HR 137 urges Hawaii's Insurance Division (Department of Commerce and Consumer Affairs) and the Department of the Attorney General to form a working group tasked with identifying feasible options and mechanisms to protect the state and its residents from climate change impacts on insurance availability and affordability. The bill is a resolution, meaning it expresses legislative intent rather than creating binding law, and calls for collaborative analysis rather than immediate regulatory action.

Why is this important

Climate change is already affecting insurance markets nationwide, with insurers withdrawing from high-risk areas, raising premiums, and leaving some regions underserved. Hawaii is particularly vulnerable due to its geographic isolation, exposure to hurricanes, sea-level rise, and limited alternative insurers. A working group could identify policy solutions—such as state insurance pool reforms, regulatory adjustments, or public-private partnerships—before insurance affordability becomes a crisis affecting homeowners, businesses, and the broader economy.

Potential points of contention

Cost and implementation uncertainty: The resolution doesn't specify funding, timeline, or enforcement mechanisms, so the working group's recommendations may lack resources or political will to implement

Insurance industry concerns: Insurers may resist regulatory interventions that increase their obligations or limit pricing flexibility, potentially leading to industry pushback or further market withdrawal

Scope limitations: As a non-binding resolution, this creates no enforceable requirements; meaningful change depends entirely on agency follow-through and future legislation based on the group's findings