FOR IMMEDIATE RELEASE
April 1, 2015
(512) 463-0120 office
AUSTIN, TX — Yesterday, the Senate Business and Commerce Committee heard Senate Bill 900, authored by Senator Larry Taylor and co-authored by Senator Juan "Chuy" Hinojosa that relates to the operation of the Texas Windstorm Insurance Association (TWIA). The bill creates an increased level of transparency and accountability, greater representation within the organization, as well as a restructured funding mechanism. Senator Hinojosa has been working many months with community and business leaders from the 14 coastal counties, as well as with his legislative colleagues to develop the framework for this legislation.
Senator Hinojosa issued the following statement:
"SB 900 changes TWIA's name to the Texas Coastal Insurance Association and replaces TWIA's management. It utilizes a single adjuster program to allow professional insurance companies that write the underlying coverage for property and fire coverage to adjust claims on behalf of the TWIA. Additionally, it amends the makeup of the TWIA Board of Directors and restructures the funding mechanism. This legislation is crucial for our coastal communities and the State of Texas. I look forward to working with my colleagues on passing legislation that ensures coastal property owners have access to affordable and available windstorm insurance coverage."
For over thirty years, the 14 Texas counties that are on the Gulf of Mexico have had to rely on TWIA for insurance protection against hurricane and wind damage. For the past several sessions, the Texas legislature has been grappling with how to fix TWIA, which had a financing mechanism insufficient to handle a major storm.Coastal residents have endured repeated hikes in premiums and worry the expenses could drive businesses and jobs away from the coast.