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Texas Windstorm Insurance Association: Rates Inadequate by 39% for residential, 46% for Commercial


Texas Windstorm Insurance Association: Rates Inadequate by 39% for residential, 46% for Commercial
July 6, 2021
The Texas Windstorm Insurance Association has posted its 2021 Rate Adequacy Analysis for public review.
The analysis indicates that TWIA’s current rates are inadequate by 39% for residential coverage and 46% for commercial coverage.
TWIA’s analysis consists of several PDF documents and Microsoft Excel spreadsheets. A complete 2021 TWIA Rate Adequacy Analysis is available to the public, as is a summary of the analysis by the Rate Adequacy Presentation to the Committee.
State law requires TWIA to post a rate adequacy analysis on its website 14 days prior to the date of TWIA’s Board of Directors rate filing vote, including for the board’s annual required rate filing decision. ....

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Study Shows Impact of Property Protections on Texas Windstorm Insurer Rates


Study Shows Impact of Property Protections on Texas Windstorm Insurer Rates
January 7, 2021
A report prepared by Willis Towers Watson showing the potential impact of increased coastal building standards on premium rates for Texas’ property insurer of last resort for coastal counties is now available for public review.
The report finds that if every property insured by the Texas Windstorm Insurance Association (TWIA) in the most exposed areas had exterior opening protections, TWIA rates would be inadequate by 11% for residential policies and 20% for commercial policies.
TWIA’s Actuarial & Underwriting Committee had requested that WTW perform model runs exploring hypothetical scenarios in which all TWIA-insured properties had exterior opening protection (such as hurricane shutters, reinforced garage doors, impact resistant glass, and other wind debris-resistant coverings). ....

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