Texas Windstorm Insurance Association (“TWIA”) policyholders will not be impacted by a premium rate increase in 2019.
That's because the TWIA board of directors has voted to withdraw the TWIA's annual rate filing made in August 2018, pending with the Texas Department of Insurance.
Last year, Texas Governor Greg Abbott suspended the insurance commissioner's consideration of the TWIA filing until June 16, 2019, giving the legislature an opportunity to consider concerns about TWIA's actuarial soundness and to facilitate continued coastal recovery from the effects of Hurricane Harvey.
The TWIA board also authorized TWIA staff to work with the Texas Public Finance Authority and the Texas Department of Insurance to effect the refinancing of the outstanding balance of the $500 million in Class 1 public securities issued pre-event in 2014. The TWIA used the proceeds of the issued Class 1 bonds to pay policyholders' Hurricane Harvey claims. The outstanding balance may be refinanced early without penalty beginning July 1, 2019.
Learn more: www.twia.org/rates.
Victoria Spears
Victoria Prussen Spears is senior vice president of Meyerowitz Communications Inc., a law firm marketing communications consulting company. A graduate of Sarah Lawrence College and Brooklyn Law School, Ms. Spears was an attorney at a leading New York City law firm before joining Meyerowitz Communications. She may be contacted at [email protected].