Hawaii Contractor Insurance Requirements
Hawaii requires workers' compensation for employers with one or more employees and operates a Temporary Disability Insurance (TDI) program in addition to standard WC. Hawaii also requires prepaid health care coverage for employees working more than 20 hours per week under the Prepaid Health Care Act — a unique requirement that affects total insurance costs for contractors. The Hawaii Contractors License Board licenses all contractors and requires proof of GL and WC insurance.
Hawaii COI Requirements at a Glance
The following table summarizes the minimum insurance requirements for contractors operating in Hawaii. Commercial property managers often require limits above state minimums.
| Coverage Type | Minimum / Status |
|---|---|
| General Liability (per occurrence) | $1,000,000 |
| General Liability (aggregate) | $2,000,000 |
| Workers' Compensation | Mandatory 1+ employees |
| Umbrella / Excess Liability | Commonly Required on Large Projects Common minimum: $1,000,000 |
| Additional Insured Endorsement | Commonly Required |
| Waiver of Subrogation | Commonly Required |
Coverage Notes
GL: Hawaii Contractors License Board requires $1M per occurrence for commercial contractor licenses. Residential licenses require $500K.
WC: Hawaii Revised Statutes § 386-1 requires WC for all employers with 1+ employees. Hawaii also mandates Temporary Disability Insurance (TDI) separate from WC.
Umbrella: Required on state government contracts and large commercial projects. High construction costs in Hawaii often drive $2M–$5M umbrella requirements.
Additional Insured: Required on all commercial contracts in Hawaii. State contracts require blanket additional insured endorsements.
Waiver of Subrogation: Standard on Hawaii commercial construction and property contracts.
Hawaii-Specific Laws & Regulations
These laws directly affect how contractor insurance requirements are structured in Hawaii. Property managers should be familiar with these statutes when reviewing vendor COIs.
Hawaii Revised Statutes § 386-1 (Workers' Compensation Law)
Mandates WC for all employers with 1+ employees. Hawaii also requires separate Temporary Disability Insurance for non-work-related injuries.
Hawaii Prepaid Health Care Act (HRS § 393)
Requires employers to provide health insurance to employees working more than 20 hours per week. This is a unique Hawaii requirement that affects contractor operating costs.
Hawaii COI Frequently Asked Questions
Common questions from property managers and contractors about insurance requirements in Hawaii.
Do contractors in Hawaii need workers' compensation?
Yes. Hawaii Revised Statutes § 386-1 requires workers' compensation for all employers with one or more employees. Hawaii also requires Temporary Disability Insurance (TDI), which covers non-work-related injuries separately from WC.
What are the minimum insurance requirements for contractors in Hawaii?
Hawaii contractor licenses require $1M per occurrence GL for commercial work. Workers' compensation and TDI are mandatory for employers. Property managers typically require $1M/$2M GL plus additional insured endorsements.
What is Hawaii TDI and how does it affect contractor COIs?
Hawaii's Temporary Disability Insurance (TDI) covers employees for non-work-related injuries or illnesses, similar to short-term disability. It is separate from workers' compensation and must be maintained by all employers with 1+ employees. Look for TDI coverage when reviewing Hawaii contractor COIs.
Are Hawaii contractor insurance requirements different for residential vs. commercial?
Yes. Hawaii Contractors License Board requires $1M per occurrence GL for commercial contractors and $500K for residential. Both categories require workers' compensation. Commercial property managers typically require the higher commercial limits regardless of project type.
Track your Hawaii vendor compliance automatically
COIPulse verifies that every contractor COI meets Hawaii's requirements — automatically. Stop chasing paperwork and start managing risk.
14-day free trial · No credit card required · Grade your first COI instantly