Hawaii’s Maui Fire — A $4 Billion Settlement

The Maui wildfire lawsuits have been settled for $4 billion. Thousands of homeowners and businesses filed suit against the state of Hawaii, Maui County and telecommunications companies around the island.

The fire on August 8, 2023 killed 102 people and destroyed 2,200 structures and the capital cost of the fire is estimated to be $5.5 billion.

In spite of being warned that strong, warm, and dry, gale-force winds were going to hit the island, Hawaiian Electric did not turn off power. It is being painted as the main cause of most of the damage and deaths, and has admitted the strong winds snapped power poles and starting a small fire near Lahaina.

Shelee Kimura, president and chief executive officer of Hawaiian Electric said almost half of the $4 billion — $1.99 billion —  will be paid by Hawaiian Electric. “Achieving this resolution will allow all parties to move forward without the added challenges and divisiveness of the litigation process,” she said.

Hawaii Governor Josh Green is hoping this begins to help people heal.

“I acknowledge that the $3 billion that’s coming from insurance is very helpful,” Green said. “But the additional $4 billion of settlement will hopefully make it possible for people to rebuild however they feel they need to.”

The payments will start coming in mid-2025 after a judicial review and approval.

Source link: Insurance Journal — https://bit.ly/3WTYCTe

Source link: Business Insurance — https://bit.ly/3yjONon