By Benjamin Finnerty (S), REALTOR® (RS-83812) with Keller Williams Realty Maui · Kīhei, Maui · 808-481-9748

Quick Answer: An HO-6 policy insures what a Maui condo association’s master policy doesn’t: your belongings, owner upgrades, loss of use, personal liability and your share of certain assessments. Under Hawaiʻi law (HRS §514B-143(d)), a condo board can charge the master policy deductible to the units involved in a loss, so as of 2026 your HO-6 limits should be sized with that deductible in mind.

I’m Benjamin Finnerty, a REALTOR® in Kīhei with Keller Williams Realty Maui, and I focus on South Maui condos. HO-6 condo insurance on Maui gets less attention than the association’s master policy, but it’s the piece that protects you personally when something goes wrong in your unit or your building. Here’s how the two policies fit together, what Hawaiʻi law says about deductibles, and the questions I’d ask before buying.

General information, not insurance, tax or legal advice. Confirm coverage with a licensed insurance agent and your situation with a Hawaiʻi attorney or CPA.

What does an HO-6 policy cover on a Maui condo?

An HO-6 is the unit owner’s policy. It typically covers the interior parts of your unit that the association doesn’t insure, your personal property, your liability, and loss assessment.

A March 2022 Hawaiʻi Condominium Bulletin article from the state’s Real Estate Commission breaks the coverage down this way:

Coverage	Association master policy	Your HO-6 policy
Building structure and common elements	Yes, per the governing documents	No
Original fixtures inside units (cabinets, built-ins)	Usually, as originally installed	Upgrades and betterments
Your furniture and belongings	No	Yes
Liability inside your unit	No	Yes
Injuries in lobbies, hallways, pools	Association liability policy	No
Additional living expenses or lost rent	No	Loss of use / fair rental value
Your share of a common-element loss	No	Loss assessment

Source: Hawaiʻi Condominium Bulletin, March 2022; HRS §514B-143.

The details depend on your building’s declaration and bylaws, which define what the association insures and what you do. Read them before you choose limits.

Can my condo association charge me the master policy deductible?

Yes, it can. HRS §514B-143(d) lets a Hawaiʻi condo board pay a deductible as a common expense, assess it against the owners who caused the damage or whose units were the source of the loss (after notice and a hearing), or require the owners of the affected units to pay it.

That’s why the September 2021 Hawaiʻi Condominium Bulletin recommends making sure your HO-6 dwelling coverage (Coverage A) meets or exceeds the association’s deductible. If your limit is lower, you could be paying the gap yourself after a pipe leak or other covered loss.

Hawaiʻi law also says the association’s insurance “need not cover improvements and betterments” installed by owners, under HRS §514B-143(b). If you’ve replaced carpet with hardwood or upgraded a kitchen, those upgrades generally fall to your HO-6.

What does Hawaiʻi law require the association to insure?

Unless the declaration or bylaws say otherwise, HRS §514B-143(a) requires the association to carry property insurance on the common elements at full replacement cost (minus deductibles), commercial general liability coverage of at least $1,000,000, a fidelity bond for associations with more than five units, and directors and officers coverage.

The key phrase for owners is “minus deductibles.” Large deductibles are where costs shift from the association to individual owners.

Why are Maui condo master policies getting more expensive?

Hawaiʻi’s condo insurance market is tight. In a January 2026 FAQ, the state Department of Commerce and Consumer Affairs (DCCA) said only three admitted insurers place condo building coverage in Hawaiʻi, and many cover about 20% to 30% or less of a building’s hurricane exposure. Associations often fill the gap with surplus lines insurers, whose rates the Hawaiʻi Insurance Division can’t regulate.

The DCCA also notes that Fannie Mae and Freddie Mac require full building coverage for certain risks, including hurricane. A building with a coverage gap may end up selling mainly to cash buyers, which can affect values for every owner.

What has the state done about condo insurance?

Act 296 (2025) is the main response. Per the DCCA’s FAQ, it:

• Reactivated the Hawaiʻi Hurricane Relief Fund to add hurricane capacity for associations
• Expanded the Hawaiʻi Property Insurance Association‘s powers to cover other perils, with expanded products expected in the second quarter of 2026
• Created a Condominium Loan Program, run by the Hawaiʻi Green Infrastructure Authority, to help associations finance repairs that keep buildings insurable and lendable

A 2024 law also allows C-PACER loans for condo resilience projects such as re-piping and fire sprinklers. Associations buy these coverages through their insurance agents, so ask whether the building uses any of them. My guide to Maui condo reserves and special assessments covers the funding side.

What should I ask about insurance before buying a Maui condo?

Ask early, during due diligence, not after you go firm:

• What is the master policy deductible, and is there a separate hurricane deductible?
• What share of the building’s hurricane exposure is covered?
• Which insurers are on the policy, and when does it renew?
• How do the bylaws allocate deductibles after a unit-caused loss?
• Are there pending or planned special assessments?
• What HO-6 quote do you get with Coverage A and loss assessment limits that match the deductible?

Flood and hurricane need separate attention. My guides to Maui hurricane insurance and buying flood insurance online cover those.

My Take: What I’m Telling Condo Buyers About Insurance

When I compare condo complexes for a buyer, I look at what each one offers in amenities, the association’s history of financial decisions, and the total HOA costs and what they cover. Insurance sits right in the middle of that. A building that has kept up with re-piping and exterior repairs and planned for its insurance renewal tells you something about how the board makes decisions. A building with a thin hurricane layer or a recent jump in deductibles tells you something too.

My practical advice: get an HO-6 quote during your inspection period, not after closing. Size Coverage A and loss assessment to the master policy deductible, list any upgrades the seller made, and if you plan to rent the unit, ask about fair rental value coverage. Then add the HO-6 premium to the HOA dues and property taxes when you compare buildings. The lowest monthly dues aren’t always the lowest total cost.

HO-6 Condo Insurance FAQ

Is HO-6 insurance required on Maui?
Your association’s governing documents or your lender may require it. Confirm with both before closing.

Does HO-6 cover hurricane or flood damage?
Not automatically. Check whether hurricane is excluded, and buy flood coverage separately if you want it.

What is loss assessment coverage?
It helps pay your share of a loss to the common elements when the association assesses owners. Ask your agent how your policy treats deductible assessments.

Who pays the master policy deductible after a leak?
Under HRS §514B-143(d), the board can pay it as a common expense or assess it to the responsible or affected units, depending on the situation and your bylaws.

Ask Benjamin

Comparing condo buildings and want help reading the insurance and HOA numbers? I’m Benjamin Finnerty, and I’m glad to walk through the association documents with you. Call or text me at 808-481-9748 or email benjamin@the808team.com.

Sources: Hawaiʻi Revised Statutes §514B-143; Hawaiʻi Real Estate Commission, Hawaiʻi Condominium Bulletin (Sept. 2021 and March 2022); Hawaiʻi Department of Commerce and Consumer Affairs, Condo Insurance FAQs (Jan. 2026).