AI-assisted research summary: Insurance business participants generally need a Hawaii license to act as an adjuster or independent bill reviewer; a limited nonresident catastrophe exception applies, and violations can trigger civil penalties.
PART II. LICENSING REQUIREMENTS, PROCEDURES AND ENFORCEMENT Case Notes Where management company for foreign insurer authorized to do business in Hawaii did not hold a general agent, subagent, or solicitor license under this article (1993), it could not have been legally appointed as either a general agent, subagent, or solicitor of insurer; thus it did not qualify as a "general agent", "subagent", or "solicitor" as defined by this chapter (1993), did not fall within the parameters of the category described by §237-13(7) and was thus subject to a general excise tax rate of four per cent pursuant to §237-13(6). 115 H. 180, 166 P.3d 353 (2007). (a) No person engaging in the business of insurance in this State shall act as, be appointed as, or hold oneself out to be an adjuster or independent bill reviewer unless so licensed by this State. (b) Notwithstanding subsection (a), following a catastrophe in this State, a Hawaii license shall not be required of a nonresident adjuster for the adjustment of losses; provided that: (1) The common losses suffered that are to be adjusted are a direct result of the catastrophe and shall be so severe that licensed adjusters and licensed independent adjusters who are residents of this State will be unable to adjust the losses within a reasonable time as determined by the commissioner; (2) The nonresident adjuster provides to the commissioner a certified copy of the adjuster's current license in another state. The other state shall have substantially similar licensing requirements to section 431:9-222; and (3) Within three working days of the commencement of work by the nonresident adjuster, the insurance company, independent adjusting company, or producer that is using the adjuster shall provide on its letterhead to the commissioner: (A) The name of the nonresident adjuster; (B) The nonresident adjuster's Hawaii mailing and business addresses and phone numbers; and (C) The nonresident adjuster's permanent home and business addresses and phone numbers. Upon satisfaction of all of these requirements, the nonresident adjuster may be registered with the commissioner and adjust catastrophic losses in this State for up to one hundred twenty days from the date of registration or for a period of time determined by the commissioner, whichever is less. As used in this subsection, "catastrophe" means insured property losses in Hawaii that result from a sudden, specific, and natural or manmade disaster or phenomenon, as determined by the commissioner. (c) Any person violating this section shall be assessed a civil penalty not to exceed $5,000 for each factually different violation. (d) Any person who knowingly violates this section shall be assessed a civil penalty of not less than $1,000 and not more than $10,000 for each violation. (e) Each repetition of an act that constitutes a violation subject to subsection (c) or (d) shall constitute a separate violation. [L 1987, c 347, pt of §2; am L 1993, c 205, §14; am L 1998, c 203, §1; am L 2000, c 182, §9 and c 288, §7; am L 2001, c 216, §8; am L 2006, c 154, §15]