HI HB2440

Establishes an Ombudsman's Office for Homeowners Insurance within the Hawaii Department of Commerce and Consumer Affairs insurance division, headed by an ombudsman appointed by the director with governor approval.

Requires the ombudsman to be a licensed attorney in Hawaii with extensive experience in property and casualty insurance and alternative dispute resolution, and prohibits political activity or conflicts of interest.

Grants the ombudsman broad powers including subpoena authority, ability to investigate complaints, conduct contested case hearings, impose fines (minimum $250 for false submissions), and issue binding decisions on insurance-related disputes.

Creates a formal dispute intervention process where homeowners, insurers, and affected parties can submit written requests for dispute resolution, with mandatory participation and filing fees up to $100 to deter frivolous claims.

Establishes an Ombudsman's Office for Homeowners Insurance special fund funded by fines and fees, and appropriates unspecified general fund amounts for administrative costs, effective July 1, 2026.