Wright National Flood Insurance Company has agreed to acquire the flood insurance policy book from First Insurance Company of Hawaii, bringing FICOH's NFIP policyholders and agents under Wright Flood's servicing platform beginning this fall - a transition that will complete at precisely the moment the NFIP itself faces its next reauthorization deadline.
The NFIP is currently authorized only through September 30, 2026, following a 43-day lapse during last fall's federal government shutdown that halted new and renewal policy sales before Congress reauthorized it retroactively. The National Association of Realtors has estimated that a lapse in the program affects roughly 1,300 property sales and 40,000 mortgage closings a month in flood-prone areas nationwide. Wright Flood will be managing FICOH's flood book through the renewal cycle that lands directly against that deadline - making the transition's execution timing a practical consideration alongside its strategic rationale. Industry groups including the American Property Casualty Insurance Association have continued to press Congress for a longer-term reauthorization to reduce the disruption caused by the program's history of short-term extensions.
That program-level uncertainty arrives against a Hawaiian property market already under significant pressure. Carriers have sharply repriced risk and pulled back capacity since the August 2023 Maui wildfires, which caused more than $3 billion in insured losses, with some homeowners seeing premium increases of 32% to 54% over the past year. Back-to-back Kona low storms in March and April brought further flooding, mudslides and landslides across the islands, adding renewed pressure to a market where, according to a recent Insurance Fairness Project report, hundreds of thousands of Hawaii properties do not currently qualify for flood insurance at all. Against that backdrop, continuity of NFIP servicing for FICOH's flood book - one of the state's largest - carries added significance for agents and policyholders navigating an already disrupted market.
Wright Flood has more than 40 years of experience exclusively in flood insurance and is the largest Write Your Own carrier for NFIP coverage in the country, selling federal flood insurance through more than 17,000 independent agencies nationwide. The company holds an AM Best A rating and is recognized for its claims response capability at the point of a flood loss.
FICOH, headquartered in Honolulu, was founded in 1911 and is the oldest and largest property and casualty insurer domiciled in Hawaii. Tokio Marine first took a 50% ownership position in 1999 and acquired full ownership in 2011, paying $165 million to buy out CNA Financial's remaining stake. FICOH operates alongside other Tokio Marine-owned Hawaiian carriers - First Fire and Casualty Insurance of Hawaii and First Indemnity Insurance of Hawaii - as part of the Japanese insurer's broader US portfolio, which also includes Tokio Marine HCC and Philadelphia Insurance Companies.
Patricia Templeton-Jones, chief executive officer and chief program advocate at Wright National Flood Insurance Services, said: "First Insurance Company of Hawaii combines over a century of local market knowledge with the global strength of the Tokio Marine Group, making it a cornerstone of Hawaii's insurance industry and a trusted partner for residents and businesses statewide."
Beginning this fall, Wright National Flood Insurance Company will issue all new policies and renewals for FICOH's flood book. For retail agents currently accessing flood coverage through FICOH, the process change will be minimal. Wright Flood will service, administer and issue flood coverage under the NFIP for FICOH's existing policyholders and agents throughout the transition.
