THE SENATE
S.B. NO.
2042
THIRTY-THIRD LEGISLATURE, 2026
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:
SECTION 1. Section 431:19-104, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:
"(a) Each captive insurance company licensed pursuant to this article shall possess and thereafter maintain unimpaired capital and surplus in the amount established by the commissioner; provided that:
(1) The commissioner shall take into account the nature and volume of business transacted by each captive insurance company, and any other factors deemed appropriate by the commissioner;
(2) Class 3 companies shall be subject to other applicable provisions of this chapter that may require capital and surplus in excess of those established by the commissioner; and
(3) Minimum capital and surplus established by the commissioner shall be [[Struck through: no]] [Underlined: not] less than the following amounts:
(A) Class 1 company: $100,000;
(B) Class 2 company: $250,000;
(C) Class 3 company: $500,000;
(D) Class 4 company: [[Struck through: $500,000;]] [Underlined: $100,000;] and
(E) Class 5 company: An amount as determined by the commissioner on a case by case basis."
SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 3. This Act shall take effect on January 1, 3000.
Report Title:
Insurance; Sponsored Captive Insurance Companies; Minimum Capital and Surplus; Reduction
Description:
Reduces the unimpaired minimum capital and surplus that class 4 sponsored captive insurance companies are required to maintain. Effective 1/1/3000. (SD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.