Downtown Honolulu’s historic Hawaii Theatre Center is battling for its survival as insurance premiums have skyrocketed by an astronomical 4,500%, forcing the 103-year-old cultural landmark to slash programs and scramble for the $6 million needed annually to keep its doors open. The financial crisis has transformed daily operations from a manageable challenge into a desperate fight for existence.
According to Honolulu Star-Advertiser, the surge meant that the theater’s operating costs, excluding major capital repairs, rose from around $10,000 a day to some $15,000 a day. Gregory Dunn, president and CEO of the Hawaii Theatre Center, revealed that insurance premiums jumped last year by 4,500%, with property insurance for the coming year now costing around $430,000.
Coverage Slashed as Costs Soar
The numbers paint a devastating picture of Hawaii’s insurance market collapse. Hawaii News Now reported that Hawaii Theatre Center Board Chair Timothy Howell said insurance for the 103-year-old theater last year cost $2 per $1,000 of coverage, which enabled them to carry a $45 million policy. But this year, the premium was $90 per $1,000, so they could only afford $5 million in coverage, far less than replacement cost.
Programs at Risk
The insurance crisis has forced painful cuts across the organization. As reported by Honolulu Star-Advertiser, the Hawaii Theatre’s youth theater program, produced in partnership with the Pacific Academy of Performing Arts, had planned on staging big-scale children’s musicals this fall, next spring and next summer — plans now in jeopardy as federal funding and private foundation grants have dried up simultaneously.
Celebrity Lifeline
Fortunately, high-profile supporters have stepped up to help bridge the financial gap. Joe Moore and Pat Sajak donated the proceeds from their recent production of “Prescription: Murder” to the Hawaii Theatre Center, with Moore also covering the show’s production costs. Dunn noted that “(Moore and Sajak) have brought in over $1.5 million in support to the theater over the years of their relationship to the theater. This year their show is on track to bring in almost $250,000 in ticketing sales for us, so it’s really helpful, and it helps close the gap.”
In September, comedian Ronny Chieng will headline a two-night fundraiser, “Ronny Chieng & Friends – Century of Inspiration,” featuring surprise guests. When Chieng filmed his Netflix special at the Hawaii Theatre last year, five shows sold out. “Having him willing to come back and give back to the community and help support us is nothing short of amazing,” Dunn said. “To have someone like Ronny willing to donate his time and talent, and then also invite his friends, some of which are superstars who do arena shows, to come and join him on our stage to help raise money for us really is life saving.”
Statewide Insurance Crisis
The theatre’s struggle reflects broader turmoil in Hawaii’s property insurance market. According to Honolulu Civil Beat, some condo owners have seen annual premiums double to $300 from $150 over just the past year, while master policies for entire complexes have jumped from $75,000 to $500,000 annually, resulting in $5,000 special assessments for individual owners…