Hawaii Homeowners Insurance Guide

Without question, Hawaii is a tropical paradise. Residents enjoy breathtaking scenery and balmy temperatures year round. However, Hawaii homeowners pay quite a price for the beauty that surrounds them. Hawaii has a propensity for several natural disasters, including flash floods, hurricanes, earthquakes, volcanic eruptions, and tsunamis. These frequent perils present additional risk to Hawaii homeowners and home insurers, which is why Hawaii has higher house insurance premiums than most other states in the country. For tips on protecting your Hawaii home adequately while keeping your premiums affordable, read our Hawaii homeowners insurance guide.

Perils Unique to Hawaii

Hawaii is prone to a number of natural disasters that homeowners in other states do not have worry about. Hawaii homeowners must consider these common and rather severe perils when structuring their house insurance coverage. Below, we've provided a summary of the perils unique to Hawaii along with suggestions on how Hawaii homeowners can protect themselves from related losses.

• Flooding. A standard house insurance policy will not cover flood damage, which is a major problem for Hawaii homeowners. Certain portions of the Hawaii islands are prone to flash flooding when heavy rains occur. If you live near a river or other flood-prone area, you should add flood coverage to your Hawaii house insurance policy to protect yourself.
• Hurricanes. Hawaii is no stranger to tropical cyclones, and homeowners should prepare accordingly. If your home is damaged by hurricane winds, your standard homeowners insurance policy should cover it. However, if your home is damaged by hurricane-related flooding, the event will not be covered unless you carry flood insurance.
• Earthquakes. The earthquakes in Hawaii are frequent, relatively small, and usually related to the islands' volcanic eruptions. As with flooding, your house insurance policy will not cover earthquake damage unless you carry a separate policy for the peril.
• Volcanic eruptions. Volcanic activity poses a threat to Hawaii homes in several forms: lava flow, ash falls, lahars, pyroclastic density currents, and avalanches of debris. Volcanic eruptions are one of the named perils that are covered by most home insurance policies, but some insurers may exclude this peril when issuing Hawaii homeowners coverage. Make sure you ask your insurer if volcanic eruptions and related threats are covered by your policy.
• Tsunamis. Hawaii is the most tsunami-prone state in the U.S. On average, Hawaii records one tsunami each year. House insurance policies will not cover flooding that results from a tsunami, so, again, Hawaii homeowners will need to purchase flood insurance to stay fully protected.

Hawaii Insurance Resources

For additional information, homeowners can consult the website of Hawaii's Department of Commerce & Consumer Affairs. The Department of Commerce oversees Hawaii's insurance industry. The insurance division of the Department of Commerce issues licenses to insurance companies, agents, and brokers; reviews the financial condition of Hawaii-based insurers; investigates insurance complaints; and evaluates premiums and policies. On the Hawaii Department of Commerce site, homeowners can find general information on house insurance, file a complaint against an insurer, and compare premiums and complaint ratios for different home insurers.