Governor Green Proposes Visitor Impact Fee for Disaster Insurance Amid Maui Wildfire Recovery
In the aftermath of the devastating Maui wildfires on August 8, 2023, which claimed 102 lives and destroyed nearly 4,000 structures, Hawaiian Governor Josh Green has proposed a visitor impact fee to fund state disaster insurance. This initiative aims to ensure Hawaii’s resilience in the face of future natural disasters while addressing the immediate needs of those affected by the recent fires.
Criticism of the Insurance Industry With an Emphasis on State Farm
Governor Green has criticized the insurance industry for delaying a proposed $4.037 billion “global settlement” intended to aid victims of the Maui wildfires. The governor has been vocal about the industry’s “terrible, terrible greed,” specifically targeting mainland attorneys representing companies like State Farm. He accuses them of prioritizing profits over the welfare of Maui residents.
“Their demands threaten the well-being of our communities. We won’t stand for it. Hawaii deserves better,” stated Green according to the Hawaiian Tribune.
Push for Fair Resolution
Governor Green is committed to advocating for a fair resolution to expedite recovery efforts on Maui. He praised local attorneys willing to forego their right to sue responsible parties, emphasizing the importance of community welfare over litigation. The governor has urged State Farm to settle, noting their involvement in every step of mediation leading to the tentative settlement.
“We need partners who are committed to the welfare of our residents. Delaying the recovery process is unacceptable,” Green asserted.
Visitor Fees for Captive Insurance
The proposed visitor impact fee is seen as a strategic move to develop a large-scale “captive insurance” program tailored for Hawaii residents and businesses. This program would leverage tourism revenue to support local disaster response efforts, demonstrating a proactive approach to future challenges.
“It’s about creating a sustainable path forward. Every dollar counts in securing the safety and livelihoods of our people,” explained Green.
Ongoing Mediation and Proposed Settlement
The ongoing mediation process has seen significant offers from various entities, including a $1.99 billion contribution from Hawaiian Electric and $872.5 million from Kamehameha Schools. The state itself is expected to pay around $750 million, with additional contributions from other defendants.
Governor Green has also petitioned for judicial intervention to prevent insurance companies from pursuing damages directly from key entities, expressing a commitment to protecting the state’s interests.
Mitigation Strategies and Future Implications
In addition to financial strategies, the state is implementing mitigation efforts, such as fire and smoke sensors, to prevent future disasters. Governor Green hopes these initiatives will set a precedent, influencing local, national, and global perspectives on disaster preparedness and response.
“Our goal is to ensure a resilient future for Hawaii. The proposed visitor impact fee is a step towards self-reliance in the face of natural disasters,” Green emphasized.
Conclusion
Governor Green’s proposals mark a significant shift in Hawaii’s approach to disaster management. By focusing on long-term resilience and immediate recovery needs, the state aims to safeguard its communities and pave the way for a more secure future. These initiatives underscore the critical importance of collaboration between government, industry, and the community to overcome the challenges posed by natural disasters.