Hawaii Underinsured Motorist Insurance Coverage is explained in Hawaii Revised Statutes 431:10C-301(b)(4) as being "for loss resulting from bodily injury or death suffered by any person legally entitled to recover damages from owners or operators of underinsured motor vehicles." A underinsured motor vehicle means a "motor vehicle with respect to the ownership, maintenance, or use for which sum of the limits of all bodily injury liability insurance coverage and self-insurance applicable at the time of loss is less than the liability for damages imposed by law."
The Honolulu Hawaii motor vehicle insurance laws require that insurance companies offer their insureds the option to buyuninsured motorist insurance coverage or uninsured motorist insurance coverage for limits not less than $20,000 per person and with an aggregate limit of $40,000 per automobile accident. However, these insurance coverages do not apply of they are rejected in writing. If this Honolulu insurance coverage is rejected in writing, the insurance company does not have to make any more offers of optional coverages.
The uninsured motorist and underinsured motorist insurance coverage is accepted, the Oahu, Hawaii, insurance company must then offer additional options such as the option to stack Hawaii UIM and UM coverage and the option to choose UIM and UM coverage up to, but not greater than, the bodily injury coverage limits for the insured's insurance policy.