(Galveston, TX) – Today, State Representative Terri Leo Wilson attended the TWIA Board of Directors
meeting at the Tremont House to speak out against the proposed insurance rate increases.
Rep. Leo Wilson stated the following at today’s board meeting during public comments: “I stand before you to
address a matter of great concern that affects the residents of Coastal Communities. The decision threatens to
impose a significant financial burden on the very individuals it is meant to protect. The windstorm insurance
rate hikes are unsustainable, and people will no longer be able to afford to live and work on the Gulf Coast.
TWIA was established to provide insurance coverage to homeowners in the coastal regions of Texas, where the
risk of windstorm damage is high. Its mission is to ensure that residents have access to affordable insurance
options, giving them peace of mind during times of natural disasters. However, the proposal to raise insurance
rates contradicts the purpose in the creation of TWIA.
TWIA’s primary purpose is to protect policyholders from financial strain and provide swift recovery after
disasters strike. The rate hike is unjustified in the absence of any recent major hurricanes thus having no major
depletions to the reserve. Over-allocating reinsurance costs to ratepayers, should not be passed onto
policyholders who have already paid in 1.2 billion dollars since Hurricane Ike. Instead of reducing reinsurance
costs to continue to build reserves and reduce premiums, TWIA’s Actuarial and Underwriting Committee has
chosen to recommend rate increases. The repercussions of this recommendation would be far-reaching and
devastating. Residents now find themselves burdened with the additional strain of inflated insurance costs.
Many families and individuals living in coastal regions of Texas are in desperate need of support and stability in
the face of a potential storm, not an additional financial burden.
These rate hikes would also potentially force many coastal residents to make difficult choices between paying
their insurance premiums or foregoing windstorm insurance and likely losing everything in a storm event. We
must not forget that insurance is a means to safeguard communities, not a tool to exploit or burden them. It is
imperative that you, the TWIA Board, not adopt any rate increase.
In summary, a decision by the Texas Windstorm Insurance Association to raise insurance rates is deeply
concerning. It places an unnecessary and unjust financial burden on the policyholders it is meant to serve. I
implore TWIA to reconsider this course of action, to prioritize the wellbeing of policyholders, and to explore
alternative measures before imposing further hardships. TWIA should be working towards a solution that
upholds the true purpose of insurance: to safeguard and support our communities in times of need.”
Rep. Leo Wilson Provides Public Comment Against TWIA Proposed Rate Hikes
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