The board of directors of the Texas Windstorm Insurance Association has authorized staff to seek regulatory approval for a $175 million assessment to TWIA’s insurance company members for losses associated with Hurricane Harvey.
The assessment OK’d by the association’s board on May 8 needs the approval of the Texas Department of Insurance before it can be implemented.
TWIA has estimated $1.61 billion in total losses from Hurricane Harvey, up from an estimated $1.44 billion in losses staff had presented to the board in February.
Anna Day Stafford, Legislative & External Affairs Liaison for TWIA, said in an email to Insurance Journal that staff now estimates a total assessment of $321 million. At its July 31 meeting, TWIA’s board will reconsider the assessment. The board may decide at the time whether to may seek approval from TDI for an additional member assessment.
TDI has estimated total insured losses in the state will reach approximately $19.4 billion. That amount includes losses to homes, businesses and vehicles caused by flooding.
The Atlantic hurricane season begins June 1. An early forecast for the 2018 hurricane season by Dr. Philip Klotzbach of Colorado State University (CSU), a non-resident scholar for the Insurance Information Institute (I.I.I.), calls for a slightly above-average season with 14 named storms, seven hurricanes, and three major hurricanes.
Topics Catastrophe Natural Disasters Texas Profit Loss Windstorm Hurricane
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