THE SENATE S.B. NO. 2126 THIRTY-SECOND LEGISLATURE, 2024 S.D. 1 STATE OF HAWAII A BILL FOR AN ACT RELATING TO SECURITY DEPOSITS. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
THE SENATE S.B. NO. 2126
THIRTY-SECOND LEGISLATURE, 2024 S.D. 1
STATE OF HAWAII
THE SENATE
S.B. NO.
2126
THIRTY-SECOND LEGISLATURE, 2024
S.D. 1
STATE OF HAWAII
A BILL FOR AN ACT
RELATING TO SECURITY DEPOSITS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Chapter 521, Hawaii Revised Statutes, is amended by adding a new section to part IV to be appropriately designated and to read as follows: "§521- Security deposit alternatives. Upon a tenant's request, a landlord that requires a security deposit as a condition of a rental agreement pursuant to section 521-44(b), shall offer to accept at least one of the following in lieu of the required security deposit: (1) Rental security insurance; provided that: (A) The insurance provider is an approved carrier licensed by, and in good standing with, the insurance division of the department of commerce and consumer affairs; (B) The coverage is effective upon the payment of the first premium and remains effective for the entire lease term; and (C) The coverage provided per claim is not less than the amount the landlord requires for a security deposit; or (2) A surety bond in an amount equal to the total security deposit. Nothing in this section shall be construed as to limit any other provisions or requirements pursuant to section 521-44." SECTION 2. New statutory material is underscored. SECTION 3. This Act shall take effect on July 1, 2040.
SECTION 1. Chapter 521, Hawaii Revised Statutes, is amended by adding a new section to part IV to be appropriately designated and to read as follows:
"§521- Security deposit alternatives. Upon a tenant's request, a landlord that requires a security deposit as a condition of a rental agreement pursuant to section 521-44(b), shall offer to accept at least one of the following in lieu of the required security deposit:
(1) Rental security insurance; provided that:
(A) The insurance provider is an approved carrier licensed by, and in good standing with, the insurance division of the department of commerce and consumer affairs;
(B) The coverage is effective upon the payment of the first premium and remains effective for the entire lease term; and
(C) The coverage provided per claim is not less than the amount the landlord requires for a security deposit; or
(2) A surety bond in an amount equal to the total security deposit.
Nothing in this section shall be construed as to limit any other provisions or requirements pursuant to section 521-44."
SECTION 2. New statutory material is underscored.
SECTION 3. This Act shall take effect on July 1, 2040.
Report Title: Security Deposit Alternatives; Rental Security Insurance; Surety Bond; Residential Landlord-Tenant Code Description: Requires a landlord to accept either rental security insurance or a surety bond in lieu of a traditional security deposit, upon a tenant's request. Takes effect 7/1/2040. (SD1) The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
Report Title:
Security Deposit Alternatives; Rental Security Insurance; Surety Bond; Residential Landlord-Tenant Code
Description:
Requires a landlord to accept either rental security insurance or a surety bond in lieu of a traditional security deposit, upon a tenant's request. Takes effect 7/1/2040. (SD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.