HEMIC has returned to Policyholders over $40 million in dividends over the last 14 years.
NEWS RELEASE – The Board of Directors of Hawai`i Employers’ Mutual Insurance Company, Inc. (HEMIC) have declared a $2.5 million dividend payable to qualifying policyholders. Since 2007, HEMIC’s Board has declared dividends every year and with this declaration will have returned over $40 million to Hawai`i policyholders over the last fourteen years.
“Like many other businesses, our income statement has also been negatively impacted by Hawaii’s weakened economy, due to the impacts of COVID-19″ said HEMIC Chief Executive Officer, Martin Welch. “Regardless, now more than ever, we believe it is incumbent upon us to share our profits with our policyholders — when they need it most.”
HEMIC’s mutual structure forms the basis of their commitment to share their success with their policyholders in the form of dividends
Said Jason Yoshimi, HEMIC President and CFO, “Because of our uniqueness as a mutual insurance company and our commitment to keeping a strong financial position, our balance sheet remains as strong as ever, ensuring our ability to keep our financial promises for many years to come.”
Combined with a previous $2 million premium COVID relief program that HEMIC instituted earlier this year, this $2.5 million dividend represents a very significant return to their policyholders.
To qualify for a dividend, policyholders must be insured with HEMIC for more than one consecutive policy term and demonstrate a commitment to safety. Dividends are usually distributed in November, however HEMIC has expedited their usual process in order to reach policyholders sooner in light of these unprecedented times.
HEMIC is the carrier of choice for over 95% of their policyholders, and also serves Hawai`i as the residual market for employers unable to obtain workers’ compensation coverage elsewhere. HEMIC’s policy premiums are carefully tailored to each employer’s individual loss history. While the law does not allow any insurance company to guarantee future dividends, HEMIC’s Board of Directors hold dividends as an important goal for the company. As a mutual insurance company, HEMIC is owned and governed by their policyholders, and their mutual company structure is unique in Hawai`i.