Insurance appraisal in Hawaii
Hawaii requires fire insurance to use the New York standard fire policy as it stood on December 31, 1943, and appraisal comes with that form. Hawaii's appeals court treats an appraisal clause as an agreement to arbitrate under chapter 658A. The panel sets the value of the loss without deciding what the policy covers, and an award that crosses that line can be thrown out.
At a glance
- Name an appraiser
- 20 days after the written request, in the homeowners and dwelling fire forms the Hawaii appeals court reviewed in Krafchow and in the standard fire form.
- Choose an umpire
- 15 days for the appraisers to agree on an umpire.
- If they cannot agree
- A judge of a court of record in the state, on request. In Krafchow the circuit court ordered appraisal after the carrier did not name an appraiser, and it appointed a retired judge as umpire.
- Does appraisal pause the deadline to sue?
- We found no Hawaii rule that pauses the suit deadline during appraisal. Hawaii law bars a property policy from setting a suit deadline shorter than one year from the date of loss. Your policy may allow longer.
- Who may serve
- We found no Hawaii license for property claim appraisers. Policies ask for a competent and impartial person. More below
Deadlines in Hawaii
The clock
- Day 0Written demandEither party, in writing
- By day 20Appraisers named20 days for each side, typically
- By day 35Umpire chosen15 days for the appraisers to agree, typically; if not, as the policy or state law provides
- On siteInspectionBoth estimates, line by line
- The awardAward signedAny two of three
- After the awardPaymentStandard form: 60 days after proof of loss and the award
Either side starts appraisal with a written request. The other side then has 20 days to choose an appraiser. The two appraisers have 15 days to agree on an umpire. If they cannot, either side may ask a judge of a court of record to choose one.
If a carrier ignores the request, Hawaii courts can step in. In Krafchow the owners sued after the carrier did not name an appraiser. The circuit court ordered appraisal, each side then appointed an appraiser, and the court appointed a retired judge as umpire.
What the panel decides
Amount of loss, valued without regard to coverage
In Krafchow v. Dongbu Insurance Co. (Haw. App. Feb. 17, 2023) the appeals court read the words amount of loss in the appraisal clause to mean the owner's loss from the wildfire, not the amount the insurer owes. The appraisers and umpire may value the loss whether or not the policy covers it. They have no power to decide what the carrier owes under the policy.
In that case the awards set payable amounts after deductibles and earlier payments. The court held that went beyond valuation, because working out what is owed requires deciding coverage questions that belong to the circuit court.
Who may serve
We found no Hawaii license or statute that sets qualifications for property claim appraisers. The policy forms in Krafchow ask each side for a competent and impartial appraiser, and the appraisers pick an umpire. A contractor who will do the work, a public adjuster paid a share of the claim, or anyone employed by a party does not fit that description.
The award
Hawaii treats appraisal clauses as arbitration agreements, so chapter 658A governs the award. A court must vacate an award for corruption or fraud, partiality, or when the panel acts beyond its authority, among other grounds. A motion to vacate generally must be filed within 90 days after notice of the award. In Krafchow the Intermediate Court of Appeals vacated the awards because the panel went past valuing the loss and decided what the carrier owed. The Hawaii Supreme Court declined to review the decision on June 30, 2023.
Points particular to Hawaii
Krafchow involved a Maui wildfire that damaged a villa under a homeowners policy and a cottage and garage under dwelling fire policies. The carrier paid more than $300,000 under a reservation of rights and disputed coverage, limits and the amount of loss. Wildfire claims often come down to the same split: the value of what was lost is for the panel, and coverage, limits and exclusions stay with the court.
Hurricane coverage is often separate. The state Insurance Division says hurricane insurance must often be bought separately or added by endorsement, and flood is usually a separate policy. Its August 2026 memorandum on Hurricane Lala claims adds that homeowners, hurricane and flood coverages are not interchangeable and that damage should not be labeled by the storm alone. Before demanding appraisal, work out which policy applies, because each policy has its own appraisal paragraph.
Common losses in Hawaii
Each one links back to how we look at that kind of loss.
Questions
Does my Hawaii homeowners policy have an appraisal clause?
Almost certainly. Hawaii law requires fire insurance to use the 1943 New York standard fire form, which includes appraisal, and homeowners and dwelling fire forms carry their own appraisal paragraph. Look under the policy conditions for the heading Appraisal.
How long do we have to name an appraiser in Hawaii?
20 days after you receive the other side's written request, in the standard form and in the forms reviewed in Krafchow. Check your own policy for its number.
Who chooses the umpire in Hawaii if the appraisers cannot agree?
A judge of a court of record, when either side asks. The appraisers get 15 days to agree first. In Krafchow the circuit court appointed a retired judge.
Can the appraisers decide whether my loss is covered in Hawaii?
No. Under Krafchow the panel values the loss without regard to coverage and has no power to decide what the carrier owes. Coverage, limits and exclusions go to the court.
Does demanding appraisal pause the deadline to sue in Hawaii?
We found no Hawaii rule that says so. State law bars a property policy from setting a suit deadline shorter than one year from the date of loss, and your policy may allow more. Find that date before you demand appraisal.
Can an appraisal award be challenged in Hawaii?
Yes, on narrow grounds. Because appraisal is treated as arbitration, chapter 658A lets a court vacate an award for fraud, partiality or when the panel exceeds its authority, generally on a motion filed within 90 days of notice of the award.
Before you decide anything
Has a claim in Hawaii stalled on the number?
Tell us what happened and where. We'll read the policy and tell you plainly whether appraisal fits.
When you write to us
- We read the policy, the estimates on both sides and the letters that came with them.
- We tell you plainly whether appraisal fits the disagreement, and if it doesn't, who can help.
- If it fits, we confirm next steps in writing before anything starts.
Reviewed against the sources listed, October 2026. General information, not legal advice.