Hawaii Warranty Reimbursement
Hawaii Dealers: Your State Law Guarantees Higher Warranty Rates
Haw. Rev. Stat. § 437-3.6 · 11-16% typical uplift
Hawaii dealers can still claim higher warranty reimbursement rates. Let us show you how.
Hawaii Warranty Reimbursement Law
Hawaii has basic dealer franchise protections that include warranty rate adjustment provisions.
Haw. Rev. Stat. § 437-3.6
State Tier
standard
Submission Deadline
No specific statutory deadline
OEM Response Window
Varies by manufacturer
What This Means for Your Dealership
Hawaii's dealer protection laws include warranty reimbursement provisions, though they're less detailed than mainland states with stronger frameworks. However, Hawaii dealers often have an even stronger case for rate increases due to significantly higher operating costs — parts shipping costs to Hawaii are substantially higher, and labor costs reflect the state's higher cost of living.
Don't let the basic statutory framework discourage you. The OEM submission process is national, and your documented retail rates tell a compelling story regardless of how detailed the state law is.
Key Provisions
- Motor vehicle dealer protections under Hawaii Revised Statutes
- Manufacturers must honor warranty obligations through dealer network
- Dealers can seek rate adjustments for warranty parts and labor
- Motor Vehicle Industry Licensing Board oversees franchise practices
What's Excluded from Calculations
The following repair types and transactions are typically excluded when calculating your retail warranty reimbursement rate:
- Goodwill and policy repairs
- Internal and employee vehicles
- Wholesale transactions
- Manufacturer recall campaigns
Full Statute Text
Haw. Rev. Stat. § 437-3.6 — Hawaii Warranty Reimbursement Law
Source: Hawaii State Legislature — This text is provided for informational purposes. Always consult the official state legislature website for the most current version.
Example: How Much Could You Recover?
A Hawaii dealership processing 120 warranty ROs per month at $290 average generates $418,000 annually. With 11-16% uplift, that's $46,000-$67,000 in additional annual revenue. Given Hawaii's higher operating costs, every dollar of recovered reimbursement matters more.
Pro Tips for Hawaii Dealers
Your higher parts and labor costs due to Hawaii's geography are legitimate reasons for higher retail rates — document them thoroughly
Shipping and logistics costs should be reflected in your parts markup — make sure they are before you submit
Even with a smaller RO volume, Hawaii dealers can achieve meaningful results
Hawaii Warranty Reimbursement FAQ
Can Hawaii dealers file for warranty reimbursement increases?
Yes. All OEMs accept warranty reimbursement rate increase requests from Hawaii dealers through their standard processes, regardless of state law specifics.
Do Hawaii's higher costs justify higher warranty rates?
Absolutely. Your retail rates reflect Hawaii's higher operating costs — higher parts shipping, higher labor costs — and your warranty reimbursement should match.
What's the process for Hawaii dealers?
Document your retail customer-pay labor rate and parts markup from recent repair orders, then submit through your manufacturer's standard rate adjustment process.
Estimate Your Annual Uplift
See what your dealership could be earning in additional warranty reimbursement.
Estimated Annual Uplift
Hawaii is a standard-tier state for warranty reimbursement. Learn more →
Nearby & Similar States
Frequently Asked Questions
Stop Leaving Money on the Table
Join the dealerships reclaiming what state law says they're owed. Zero risk. Zero upfront cost.