Letter from Austin: Kitzman drops bomb on TWIA
Insurance Commissioner Eleanor Kitzman dropped a bomb on the Texas Windstorm Insurance Association (TWIA), recommending it be restructured to address the long-term sustainability of the program.
As is often cited, TWIA was originally intended to be an insurer of last resort to coastal citizens who had no option to obtain private homeowners’ insurance elsewhere. However, in just over a decade, TWIA’s market share has tripled to include over half of the policies written in the Tier 1 coastal region of the state. Since the premiums paid on these policies cannot cover the risk of loss, taxpayers are ultimately liable for bailing out the coast in the event of another large storm.
Kitzman also expressed concern over the sheer number of claims TWIA is expected to handle after a major hurricane. She suggested the option of permitting an outside carrier to service the TWIA policies or of allowing a reinsurer to issue their own policies.
She expects a report on these and other options to be available in early June.
***
Missing something? Go to ClaimItTexas.org to see if you have any unclaimed property in Texas. According to the Texas Comptroller’s Office, more than 25% of Texans have funds in this account totaling $2.5 billion in cash and other valuables. Happy hunting!
***
We are still waiting for a decision regarding the date of the Texas primary. The redistricting lawsuit has yet to be finalized, thus leaving candidates unsure of their boundary lines. It seems that we are now contemplating a June 26 date, making precinct conventions all but impossible.
Republican Party State Chairman Munisteri has called an emergency meeting of the State Republican Executive Committee in order to discuss changes to party rules to allow for the lawful election of delegates and other party business. To find the exact wording of the proposed rule changes, go here. The later the primary, the later Texas Republicans will have a voice in choosing the national nominee.
UPDATE: Word has come down that the Texas primaries will take place May 29, after all.
