HRS §431:5-301

Keeping reserve funds for insurance policies

Read the official text at capitol.hawaii.gov ↗

Insurance companies must set aside money for policies that are still active, covering property, casualty, health, and surety insurance. This money is the part of premiums not yet earned, minus reinsurance. Companies can calculate it monthly or more often, but need approval to change methods.

The statute, as written — Unearned premium reserve

A copy, taken August 20, 2026. The version published by the Legislature is the one that governs, and it may have changed since. Check it before relying on anything here.

(a) Every insurer shall maintain an unearned premium reserve on all policies in force for: (1) Insurance against loss or damage to property, except as provided in section 431:5-302; (2) General casualty insurance; (3) Accident and health or sickness insurance, except as provided in section 431:5-303 and section 431:5-307; and (4) Surety insurance. (b) For purposes of this article, "unearned premium reserve" means the portions of the gross premiums in force, less authorized reinsurance. (c) All reserves may be computed, at the insurer's option, on a monthly or more frequent, pro rata basis. (d) After adopting any one of the methods for computing such reserve, an insurer shall not change methods without the commissioner's approval.

Read the official text at capitol.hawaii.gov ↗as published Jan 6, 2026our copy taken Aug 20, 2026

Sections this one refers to

§431:5-302 Reserve rules for marine and transportation trip insurance

§431:5-303 Rules for insurance reserves on noncancellable disability policies

§431:5-307 Standard valuation law for life insurance

LawTrove is not legal advice. The summary above is a computer-generated restatement — the authoritative text is the official version linked above.