Committee advances resolution to study climate impacts on insurance after AG objections

The House Committee on Consumer Protection & Commerce on April 16 advanced SCR118 SD1, a resolution urging the state's insurance regulator and the attorney general to convene a working group to explore options for protecting Hawai'i residents from climate-driven insurance availability and affordability problems.

Chair (speaker 1) recommended the committee move the resolution out with amendments that remove the Attorney General as co-convener, add the Attorney General as a member, and adjust several membership references. "Recommendation on this 1 is to move it out with just a couple amendments," the Chair said during the decision session.

Deputy Chief Christopher Hunt of the Department of the Attorney General testified in opposition earlier, citing an ongoing lawsuit the department has filed against fossil fuel interests. "We respectfully oppose this resolution for similar reasons as the companion that this committee heard last month, mainly due to our ongoing lawsuit," Hunt said, and he asked the committee to omit the working-group charge to "identify legal means of recovery," arguing that requirement could force discussion of privileged litigation strategy and risk leaks.

Hunt told members the suit remains in preliminary stages and that questions about calculating damages appeared to be "pretty far off at this point." He also said the resolution's current wording to "identify and analyze legal means available for recovery" was broad enough that it might encompass ongoing litigation.

Committee members pressed the Attorney General's office on whether the working group would address claims exclusively by the state or whether private parties could benefit; Hunt said state suits generally do not act on behalf of private parties and that private claims would be separate matters.

During decision-making, the Chair said the committee would acknowledge the Attorney General's concerns and leave any legal or statutory changes for the Committee on Judiciary and Hawaiian Affairs. The committee adopted the Chair's recommendation. Recorded votes indicated the Chair and Vice Chair voted aye; Representatives present recorded as voting aye included Rep. Chun, Rep. Iguomoto, Rep. Kalm, Rep. Lowen, Rep. Martin, Rep. Town and Rep. Zurich; two members were recorded as excused (Rep. Iligon and Rep. Ichiama). The Chair's recommendation was adopted.

Next steps: The committee moved the amended SCR118 SD1 forward for further consideration and referred legal and judiciary concerns to the Committee on Judiciary and Hawaiian Affairs.