HI| Hawaii Insurance Commissioner Scott K. Saiki’s Memorandum 2026-6A clarifies that, under HRS § 431:9-244(b), public-adjuster compensation may be deemed unreasonable and establishes presumptive limits intended to protect consumers. The memorandum applies to all public-adjuster agreements executed on or after August 17, 2026.
- Compensation exceeding 10% of a catastrophic insurance claim settlement, or 15% of any other insurance claim settlement, will be presumed unreasonable; this applies whether the fee is percentage-based or billed hourly.
- The reasonableness review considers the public adjuster’s total compensation received from or on behalf of the insured, regardless of how or when it is paid. A catastrophic claim is one arising from an event covered by a Governor’s or county mayor’s emergency proclamation under HRS § 127A-14, including extensions.