TX Legislature in Review: Windstorm Insurance

The windstorm insurance bill fixed the symptoms without solving the underlying problems with TWIA. General revenue is no longer at risk, but coastal policy holders are still stuck with the most expensive windstorm insurance possible and taxpayers and policyholders statewide will still have to pick up the bill

That will especially be true if we get another big storm, since the legislation this session punted how to handle storms with over $2.5 billion of claims to a future Texas Legislature.

This post was first published by the Texas Public Policy Foundation.

TX Legislature in Review: Homeowners’ Insurance

Texas Department of Insurance sunset legislation would have made modest improvements to the status quo, but the failure of the TDI sunset bill means consumers will still be subject to the regulatory confusion they’ve suffered thought over the last decade or so.

Unless, of course, the entire Texas Department of Insurance goes away. Something similar happened in Illinois years ago, and there hasn’t been any rate regulation of homeowners’ insurance since. Homeowners there have somehow survived, and now enjoy some of the best insurance rates in the country.

It is unlikely that TDI will go away, though. The Legislature will probably be back in special session soon to extend TDI until 2011 so the sunset process can continue on then.

This post was first published by the Texas Public Policy Foundation.