SB 900 (Taylor/Bonnen) relating to the operation of the Texas Windstorm Insurance Association (TWIA) was passed and has been signed by the governor. The bill changes the makeup of the TWIA board to include three coastal residents, three insurance industry representatives and three inland residents, all of whom will be appointed by the Governor. The bill also authorizes the Insurance Commissioner to contract with an administrator to manage TWIA and changes the funding structure for responding to major hurricane damage. Additionally, the bill requires the Texas Department of Insurance (TDI) to biennially conduct a study of market incentives to promote participation in the voluntary windstorm and hail insurance market in the seacoast territory of Texas. The bill requires the study to address as possible incentives the mandatory or voluntary issuance of windstorm and hail insurance in conjunction with the issuance of a homeowner’s policy in the seacoast territory. The new law goes into effect September 1.
