Hawaii Residents Demand Big Oil Accountability for Climate Costs

As insurance premiums skyrocket, lawmakers consider new bill to hold fossil fuel companies liable for extreme weather damage.

Apr. 14, 2026 at 10:05am

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A serene, photorealistic painting of a Hawaiian residential street with a single home in the foreground, the structure bathed in warm, golden sunlight with deep shadows cast across the scene, conveying a sense of quiet contemplation and the emotional toll of climate change on local communities.As climate-driven disasters continue to devastate Hawaii, residents are demanding that the corporations most responsible be held accountable for the rising costs.Lahaina Today

As Hawaii recovers from a series of devastating floods and wildfires, a Lahaina resident recounts her personal experience with the financial toll of climate change-driven disasters. With homeowners facing soaring insurance costs and special assessments, lawmakers are considering a bill that would empower property insurers to sue large oil and gas companies to recover the costs of extreme weather events.

Why it matters

Hawaii's climate-driven insurance crisis is forcing residents to shoulder the financial burden of disasters they did not cause. Holding fossil fuel companies accountable could provide crucial relief to storm-ravaged communities and the state's insurers of last resort.

The details

Nyssa Reclusado lost her home in the 2023 Lahaina wildfires, and like many of her neighbors, she was severely underinsured. The insurance proceeds only covered half of her losses, and she had to drain her retirement savings while waiting for the rebuild. As insurance costs for her HOA's master policy skyrocketed, Reclusado's monthly dues jumped from $500 to $845, and the HOA billed homeowners over $28,000 in special assessments.

  • In the last year, homeowners insurance premiums in Hawaii rose by as much as 50%.
  • On March 4, Senate Bill 3000, which would have empowered Hawaii's attorney general to pursue accountability from oil and gas companies, stalled after pressure from the American Petroleum Institute.
  • Senate Bill 1166, which would allow property insurers to sue fossil fuel corporations to recover climate disaster costs, is currently being considered in the Hawaii Legislature.

The players

Nyssa Reclusado

A Lahaina resident and director of Insights & Measurement for a multimedia/entertainment company who lost her home in the 2023 Lahaina wildfires.

American Petroleum Institute

The largest lobbying group for the oil and gas industry, which reportedly pressured legislators to vote against Senate Bill 3000.

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What they’re saying

“Storm-ravaged communities across the state — as well as the communities that will be victims of the next big storm — need our elected officials to stand up and fight for Hawaii. Two and a half years later, I've rebuilt my home, but we are still recovering. Legislators owe it to families like mine to get this right. Hawaii residents shouldn't be the only ones left holding the bill for a crisis we didn't create.”

— Nyssa Reclusado, Lahaina resident and director of Insights & Measurement for a multimedia/entertainment company

What’s next

If passed, Senate Bill 1166 would empower property insurers in Hawaii to take legal action against large oil and gas companies to recover the costs of extreme weather disasters.

The takeaway

Hawaii's climate-driven insurance crisis is forcing residents to bear the financial burden of disasters they did not cause. Holding fossil fuel companies accountable could provide crucial relief to storm-ravaged communities and the state's insurers of last resort.