Let K be a hypergroup, w be a weight function and let (Φ, Ψ) be a complementary pair of Young functions. We consider the weighted Orlicz space L Φ ω (K) and investigate some of its algebraic properties under convolution. We also study the existence of an approximate identity for the Banach algebra L Φ w (K). Further, we describe the maximal ideal space of the convolution algebra L Φ w (K) for a commutative hypergroup K.