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Hawaii’s top court hears insurance industry claims on $4B wildfire settlement

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Hawaii’s top court hears insurance industry claims on B wildfire settlement


HONOLULU (HawaiiNewsNow) – The Hawaii Supreme Court heard a $4 billion argument Thursday over the Maui wildfire lawsuits.

The court faces a decision that could kill the so-called “global” settlement between victims, Hawaii Electric, the state, Kamehameha Schools and other entities.

The unusual arguments pitted supporters of the settlement, including those responsible for the damage, against the insurance industry.

The key issue was whether insurance companies should have been included in the settlement for the $3 billion they say they are paying out in property damage claims.

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Insurance industry attorney Adam Romney pointed out that the industry has already paid out more than the $1.9 billion Hawaiian Electric has committed to the settlement.

“We will have to pay more than the people who actually caused the damage and that is fundamentally inequitable,” he said. “Ultimately we didn’t start the fire. We’re the people who start paying moneys immediately when the claims start coming in.”

Before the settlement, the insurers filed their own lawsuit against many of the same defendants.

So plaintiffs’ attorney Jesse Creed accused the insurers of a money grab.

“The insurers want a bigger piece of the pie and they want the leverage they can exploit out of a direct claim,” he said.

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The plaintiffs as well as attorneys for the defendants are also hoping the courts will block the insurers from filing their own lawsuits which would upend the settlement.

An attorney for the defendants, Ginger Anders, says $4 billion was all they could afford.

“The mediator did find that this was the most that the defendants could reasonably be expected to pay,” she said.

Also participating Thursday was attorney Terrance Revere, who expects to represent another batch of defendants in a class action case, alongside victims who have hired attorneys and filed individual lawsuits.

“We don’t want our county to go bankrupt. We don’t want to take huge amounts from the biggest charity in the state,” he said. “We are trying to do something that is reasonable.”

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Victims aren’t supposed to double dip, or get money from both the settlement and their insurance company for the same damages. That’s why insurers say they are entitled to money from the settlement.

But Chief Justice Mark Recktenwald and other justices asked whether the law provides a process to reimburse insurers after the victims are paid.

“You file a claim for a lien or assert a claim for a lien, and then the court is supposed to decide whether to recognize that claim or not,” Recktenwald said.

Romney responded that the insurers did not want to be in the position of filing claims against their own clients and that a global settlement, including insurers, is the right answer.

“We welcome settlement of this case,” Romney said. “We would like there to be a settlement that helps everybody, that resolves all claims.”

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The chief justice promised a ruling as soon as possible. Both sides expressed confidence they had carried the day.

“I’m very confident,” said plaintiffs’ attorney Cynthia Wong. “I’m very confident in our Hawaii Supreme Court.”

Creed agreed, “I’m confident not only based on the argument, but on the law, we are right on the law.”

Mark Grotefeld spoke for the insurers outside the courts chambers.

“We feel very good about our chances here,” he said.

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Even if the Supreme Court does rule quickly in favor of the plaintiffs, that will not immediately release money to the victims.

Attorneys say there will be a process in Maui Circuit Court that will determine if everyone is getting the right amount of money, including the insurance companies.

Meanwhile, the attorneys said there may still be time for a new agreement.

Both sides say they are still willing to work out a new deal.

The industry says it was given a cold shoulder by negotiators for victims and defendants and the state, during mediation that led to the $4 billion deal.

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“Did we meaningfully participate?” Romney told the court. “We were present. We were present, but we really didn’t have a say in what happened.”

He said insurers were offered some money in the mediation, but not enough.

“They walked in and said here is the number. We are not going to tell you how much of the number you get,” Romney said. “That was not an acceptable proposal for large client, large insurance companies that have to say, ‘What does that mean for all future cases for all future wildfire settlements?’”

The dispute has been delayed the settlement by five months as insurers pursued their own lawsuits against the electric company and other defendants, including the county.

The justices’ questions didn’t indicate either side was a clear winner, so to avoid losing and a potential precedent that could harm either side for the future, both sides may try to rewrite the settlement.

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“We want to sit at the table with the defendants, with the lawyers for the individuals and come to a proper resolution that would be well within the defendants ability to pay,” Grotefeld said. “We aren’t looking to bankrupt everybody.”

Plaitiffs attorneys say they are also willing to talk.

“We haven’t stopped the process of mediation. We’re still always trying to discuss settlement,” Wong said, “But if we can’t settle, the Hawaii Supreme Court will allow us to move forward with finality.”

With uncertainty about how long the court may take to rule, the negotiations could accelerate to try and finish before a ruling. If the court rules for the insurers, all negotiations would begin from nearly the beginning.

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Hawaii Island asks for the public’s assistance finding elderly woman, Jacquelyn Glenn

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Hawaii Island asks for the public’s assistance finding elderly woman, Jacquelyn Glenn


HONOLULU (HawaiiNewsNow) – Hawaii Island police are renewing their request for the public’s assistance in locating 82-year-old Jacquelyn Glenn of Kailua-Kona, who was reported missing by her family.

Police said she is considered endangered due to her age.

Glenn was last seen on Friday, Dec. 5, around 6:37 a.m., on the 75-200 block of Nani Kailua Dr. in Kailua-Kona.

She was wearing a peach-colored shirt, blue denim jeans, and black tennis shoes. She reportedly mentioned going to Hilo with friends, but did not say when she planned to return.

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She is described as 5′6″, 125 Ibs, with curly grey hair and brown eyes.

Police ask anyone with information on the whereabouts of Jacquelyn Glenn to call the Hawaii Police Department’s non-emergency line at (808) 935-3311.



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Hawaii gets nearly $190 million for rural health care | Honolulu Star-Advertiser

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Hawaii gets nearly 0 million for rural health care | Honolulu Star-Advertiser




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Hawaiian announces $600 million airport, wide-body upgrades | Honolulu Star-Advertiser

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Hawaiian announces 0 million airport, wide-body upgrades | Honolulu Star-Advertiser


COURTESY HAWAIIAN AIRLINES

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Hawaiian Airlines today announced an investment of more than $600 million over five years to improve airport passenger areas across the state and interior upgrades to widebody aircraft.

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Hawaiian Airlines CEO Diana Birkett Rakow told the Honolulu Star-Advertiser ahead of today’s announcement at Daniel K. Inouye International Airport that other improvements will include better apps, a better website that will make it easier for passengers to change flights, among other things that also include better integration with Alaska Airlines, which acquired Hawaiian in 2024, making it a subsidiary of Alaska Air Group.

“We have pushed a lot of change through the system for the last couple of months,” Rakow said. “We’re working on integrating our ticketing systems because right now we’re on two separate ticketing systems that don’t talk to each other.”

After late April, she said, booking on the shared Alaska Air and Hawaiian Air ticketing system “will be much more seamless.”

In announcing the renovations and changes, Hawaiian pledged “a significantly smoother guest experience … once Hawaiian Airlines and Alaska Airlines share the same passenger service system and Hawaiian Airlines joins the oneworld alliance, both scheduled for late April.”

Right now, Rakow acknowledged, “unfortunately there is some friction.”

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“There’s been so many changes and all of that friction is really painful,” she said. “We are committed to making sure we are addressing the issues. … We are certainly not perfect, but we are committed to working together. … Really, after April, it is going to improve significantly.”

Each island airport also will see renovated lobbies and gates designed to increase comfort, provide better seating and amenities such as improved power charging.

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Daniel K. Inouye International also will get a new 10,600-square-foot lounge at the entrance of the Mauka Concourse in Terminal 1.

And starting in 2028, Hawaiian’s wide-body Airbus A330s will get new seats, carpets, lighting, business class suites, a Bluetooth-enabled in-flight entertainment system with high-definition screens and free Starlink Wi-Fi.

Gov. Josh Green said in a statement ahead of today’s announcement that, “Hawaiian Airlines’ investment is exactly the kind of long-term commitment Hawaiʻi needs. Modern, welcoming airports improve the experience for residents and visitors alike, strengthen our economy and keep Hawaiʻi competitive as a global destination. We appreciate Hawaiian Airlines’ partnership in advancing workforce development, regenerative tourism, clean energy, and community programs that reflect the values of our islands.”

The New Year began with a .75% increase in Hawaii’s Transient Accommodations Tax that will help the state fight climate change.

Rakow said that Hawaiian is working to better inform inbound passengers about how to respect Hawaii’s culture and environment.

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Hawaiian said it will continue to support “programs promoting regenerative tourism, culture and conservation.”

The airline also said it will fund grants to nonprofit organizations “promoting cultural programs, environmental preservation, and perpetuation of native Hawaiian art and language through the Alaska Airlines | Hawaiian Airlines Foundation.”




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