No rate hike was recommended to the Texas Windstorm Insurance Association board of directors, which will hold its next quarterly meeting Tuesday, Dec. 8. The TWIA Actuarial Committee met Dec. 1, voting to forward an independent study on rates to the board and asking for an additional study.
“Today the TWIA Actuarial and Underwriting Committee met and did not increase rates and did not recommend to increase rates,” wrote State Rep. Todd Hunter (R-Corpus Christi) on his Twitter account. “Thanks for all the public comments and public submissions. Coastal Proud!”
Hunter has long been an opponent of raising rates, especially in the wake of Hurricane Harvey in 2017. He and other members of the Coastal Bend legislative delegation have organized public appearances and comments against increasing rates over the past two years.
He has also supported legislation to create a windstorm insurance structure that would be fairer to the Coastal Bend. Windstorm insurance reform will be on the top of his priority list this upcoming session, he told Corpus Christi Business News.
According to consulting firm Willis Towers Watson, TWIA’s rates for residential policies are inadequate by 26 percent, while commercial policies are inadequate by 44 percent. An analysis done in 2019 showed rates were inadequate for residential customers by 41.7 percent and for commercial customers by 50 percent.
The actuarial committee also directed TWIA staff to produce additional modeling output for consideration. The consulting firms presentation can be seen here.
The board of directors meeting will be held via Zoom at 9 a.m. Tuesday, Dec. 8.
