PART I. 
GENERAL PROVISIONS



 



§431P-1  Definitions.  As used in this
chapter, unless the context otherwise requires:



"Board" means the board of directors
of the Hawaii hurricane relief fund.



"Commissioner" means the insurance
commissioner as defined in section 431:2-102.



"Companion policy" means a policy of
property insurance issued by a servicing facility in conjunction with a fund
policy of hurricane property insurance that provides, at a minimum, coverage
equivalent to a standard fire policy for the peril of fire and windstorm and,
after considering all exclusions and endorsements, that provides insurance for
wind related losses or damage created by a weather system that has not resulted
in the declaration and definition of a hurricane watch or warning.



"Covered event" means each hurricane
that directly causes windstorm damage in the State.



"Deductible" or "mandatory
deductible" means the amount of loss assumed by the policyholder that is
not included in the coverages provided by the fund.



"Department" means the department of
commerce and consumer affairs.



"Director" means the director of
finance.



"Eligible property" means:



(1)  Real property of one to four units used for
residential purposes and which is in insurable condition, and which may include
tangible personal property located therein or thereon and other structures at
the insured location, as provided in the plan of operation or any manual of
rules and rates adopted under the plan of operation;



(2)  Real property used for business, commercial, or
industrial purposes which is in insurable condition, and which may include
tangible personal property located therein or thereon, as provided in the plan
of operation or any manual of rules and rates adopted under the plan of
operation;



(3)  Tangible personal property owned by an occupant
of and located in or on real property of the types described in paragraph (1),
as provided in the plan of operation or any manual of rules and rates adopted
under the plan of operation; provided that the owner of the tangible personal
property does not own the real property in or on which the tangible personal
property is located; and



(4)  Tangible personal property owned by an occupant
of and located in or on real property of the types described in paragraph (2)
as provided in the plan of operation or any manual of rules and rates adopted
under the plan of operation; provided that the owner of the tangible personal
property does not own the real property in or on which the tangible personal
property is located.



"Fund" means the Hawaii hurricane
relief fund established by this chapter.



"Hurricane" means a storm that has
been declared and defined by the Central Pacific Hurricane Center of the
National Weather Service to be a hurricane.



"Licensed property and casualty insurer"
means:



(1)  Any insurer licensed to transact any one or more
classes of insurance authorized in section 431:3-204 where premiums written
within such authority are required to be reported in the "Exhibit of
Premiums and Losses" for this State in the National Association of
Insurance Commissioners fire and casualty annual statement convention blank
that is required to be filed with the commissioner under section 431:3-302; and



(2)  The Hawaii Property Insurance Association created
in article 21 of chapter 431.



"Mortgage" means every transfer of an
interest in real property, except fixtures, made as security for the
performance of another act or subject to defeasance upon the payment of an
obligation, whether the transfer is made in trust or otherwise.



"Plan of operation" means the plan
for providing hurricane property insurance as adopted by the board of directors
of the Hawaii hurricane relief fund, and any amendments thereto, under section
431P-7.



"Policy of hurricane property
insurance" means a policy or endorsement of insurance issued by the fund
insuring only against damage or loss to eligible property caused by a covered
event in excess of the deductible and up to:



(1)  $750,000 per risk on real property of one to four
units used for residential purposes and the personal property located therein
or thereon and other structures at the insured location, subject to the limits
defined by the plan of operation or any manual of rules and rates adopted under
the plan of operation; and



(2)  $500,000 per risk on real and personal property
used for business, commercial, or industrial purposes, subject to the limits
defined by the plan of operation or any manual of rules and rates adopted under
the plan of operation; provided that the board may designate an association of
property owners or cooperative housing corporation to be a commercial risk;



provided that this policy or endorsement shall not
include coverage for business interruption and other similar coverages.



"Policy of property insurance" means
a policy providing "property insurance" as defined in section
431:1-206.  For purposes of this chapter, it includes "basic property
insurance" as provided under article 21 of chapter 431.



"Property insurance" means policies,
riders, or endorsements of insurance that provide indemnity, in whole or in
part, for the loss, destruction, or damage of eligible property.



"Servicing facility" means any
insurer engaged in writing direct property insurance in this State and licensed
in this State, and any other party authorized to act in like capacity on behalf
of the fund.



"Year immediately preceding the year of
the covered event" means the twelve-month period ending on the last day of
the calendar month immediately preceding the month in which a covered event
occurs. [L 1993, c 339, pt of §2; am L Sp 1995, c 17, §1; am L 1998, c 106,
§§1, 2]