SB2465

Report Title:

Hurricane Relief Fund

Description:

Secures hurricane relief fund for purposes of covered events only.

THE SENATE	S.B. NO.	2465
TWENTY-FIRST LEGISLATURE, 2002
STATE OF HAWAII

A BILL FOR AN ACT

 

relating to the hawaii hurricane RELIEF fund.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The legislature finds that it is fiscally prudent to retain money in anticipation of a future hurricane and to meet reinsurance needs. Homeowners should never again be subject to a lack of adequate hurricane insurance.

The purpose of this Act is to protect the integrity of the Hawaii hurricane relief fund.

SECTION 2. Section 431P-16, Hawaii Revised Statutes, is amended by amending subsection (i) to read as follows:

"(i) Solely upon dissolution of the Hawaii hurricane relief fund, the net moneys in the hurricane reserve trust fund shall only be used for protection against future covered events. The net moneys shall not revert to the state general fund, after any payments by the fund on behalf of licensed property and casualty insurers or the State that are required to be made pursuant to any federal disaster insurance program enacted to provide insurance or reinsurance for hurricane risks. In the event such moneys are paid on behalf of licensed property and casualty insurers, payment shall be made in proportion to the premiums from policies of hurricane property insurance serviced by the insurers in the twelve months prior to dissolution of the fund."

SECTION 3. New statutory material is underscored.

SECTION 4. This Act shall take effect upon its approval.

INTRODUCED BY:	_____________________________