Why can't my Hawaii condo find insurance?

After the 2023 Maui wildfires, few admitted insurers will write Hawaii condos — often covering only 20–30% of hurricane exposure — so associations turn to costly surplus-lines carriers. A non-renewal in this market is a market event, but replacing the coverage is genuinely hard.

How big are Hawaii hurricane deductibles?

Named-storm and earthquake deductibles commonly run 2–5% of insured value, which is a large number on a Hawaii building. When a loss falls within that deductible, the association usually can't absorb it and levies a special assessment, which your HO-6 loss-assessment coverage is meant to offset.

Is wind even covered on my master policy?

Not always fully. In Hawaii's hard market, wind can be sublimited or excluded, and flood and lava are separate perils. The only way to know is to read the master policy's covered perils and deductibles against your individual HO-6 — which CondoSignal does.

Hawaii • Insurance non-renewal or spike

Your Hawaii condo insurance was non-renewed after the Maui fires — what now?

Hawaii's condo-insurance market changed after Lahaina. On top of hurricane and lava risk, wildfire losses pushed carriers to retreat, and replacing lost coverage is now hard and expensive — especially through unregulated surplus lines.

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The short answer

Hawaii is in an acute hard market after the 2023 Maui wildfires: few admitted insurers will write condos — often covering only 20–30% of hurricane exposure — and named-storm/earthquake deductibles run 2–5%. Associations increasingly use costly surplus lines. CondoSignal reads your master policy and HO-6 against the Hawaii market. Free.

Hawaii at a glance

Admitted carriers

Few

Often only 20–30% of hurricane exposure.

Storm/quake deductible

2–5%

Of insured value.

Fallback

Surplus lines

Costly and unregulated.

Liability floor

$1M

Plus property coverage (HRS 514B-143).

A thin admitted market

The Hawaii Insurance Division has reported that only a handful of admitted insurers will underwrite condos, often covering just 20–30% of a building's hurricane exposure. The rest is placed with surplus-lines carriers that aren't state-regulated and cost more. A building relying on surplus lines is a signal the standard market couldn't fully cover it.

Big deductibles, big assessments

Named-storm (hurricane) and earthquake deductibles commonly run 2–5% of insured value — large numbers on a Hawaii building. When a loss hits, the association often can't absorb that deductible from reserves, so it becomes an owner special assessment. Your HO-6 loss-assessment coverage is what's meant to absorb it.

What's required and the gaps

Associations must carry property and at least $1M liability (HRS 514B-143), but wind can be sublimited or excluded, and flood and lava are separate. Reading the master policy for what's actually covered — and at what deductible — against your HO-6 is the only way to see your true exposure.

Your rights in Hawaii

Hawaii associations must carry property and at least $1M liability insurance (HRS 514B-143); document copies are capped at $1/page. None of this is legal advice — confirm against HRS 514B and a Hawaii-licensed broker.

What to check

Establish whether the master policy or your HO-6 changed.
Confirm whether wind is fully covered or sublimited/excluded.
Find the named-storm and earthquake deductibles.
Check whether the building relies on surplus-lines coverage.
Confirm your HO-6 loss-assessment limit against the deductible.
Confirm flood and (Big Island) lava coverage separately.

Sources

Educational only — not legal, financial, or engineering advice. Confirm against the current statute and, where it matters, a Hawaii-licensed professional.

FAQ

Frequently asked questions

Not sure what your documents are really telling you?

Get a free CondoSignal review of your situation — we read the paperwork against your state's rules and tell you what to do next. No cost, no obligation.

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