reglab/statecodes huggingface dataset:
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter B. -1. Payment of Losses › Section 2210.0715. Payment From Reserves and Trust Fund

Sec. 2210.0715.  PAYMENT FROM RESERVES AND TRUST FUND.  (a)  The association shall pay losses resulting from an occurrence or series of occurrences in a catastrophe year in excess of premium and other revenue of the association for that catastrophe year from reserves of the association available before or accrued during that catastrophe year and amounts in the catastrophe reserve trust fund available before or accrued during that catastrophe year.
(b)  Proceeds of public securities issued or assessments made before or as a result of any occurrence or series of occurrences in a catastrophe year that results in insured losses may not be included in reserves available for a subsequent catastrophe year for purposes of this section.
Added by Acts 2015, 84th Leg., R.S., Ch. 615 (S.B. 900), Sec. 5, eff. September 1, 2015.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 790 (H.B. 1900), Sec. 2, eff. June 10, 2019.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter B. -1. Payment of Losses › Section 2210.0725. Payment From Class 1 Assessments

Sec. 2210.0725.  PAYMENT FROM CLASS 1 ASSESSMENTS.  (a)  Losses in a catastrophe year not paid under Sections 2210.0715 and 2210.072 shall be paid as provided by this section from Class 1 member assessments not to exceed $500 million for that catastrophe year.
(b)  The association, with the approval of the commissioner, shall notify each member of the amount of the member's assessment under this section.  The proportion of the losses allocable to each insurer under this section shall be determined in the manner used to determine each insurer's participation in the association for the year under Section 2210.052.
(c)  A member of the association may not recoup an assessment paid under this section through a premium surcharge or tax credit.
Added by Acts 2015, 84th Leg., R.S., Ch. 615 (S.B. 900), Sec. 7, eff. September 1, 2015.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter B. -1. Payment of Losses › Section 2210.073. Payment From Class 2 Public Securities

Sec. 2210.073.  PAYMENT FROM CLASS 2 PUBLIC SECURITIES.  (a)  Losses not paid under Sections 2210.0715, 2210.072, and 2210.0725 shall be paid as provided by this section from the proceeds from Class 2 public securities authorized to be issued in accordance with Subchapter M on or after the date of any occurrence or series of occurrences that results in insured losses.  Public securities issued under this section must be paid within a period not to exceed 10 years and may be paid sooner if the board of directors elects to do so and the commissioner approves.
(b)  Public securities described by Subsection (a):
(1)  shall be issued as necessary in a principal amount not to exceed $250 million per catastrophe year, in the aggregate, whether for a single occurrence or a series of occurrences; and
(2)  subject to the maximum described by Subdivision (1), may be issued, in one or more issuances or tranches, during the calendar year in which the occurrence or series of occurrences occurs or, if the public securities cannot reasonably be issued in that year, during the following calendar year.
(c)  If the losses are paid with public securities described by this section, the public securities shall be paid in the manner prescribed by Subchapter M.
Added by Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 16, eff. June 19, 2009.
Amended by:
Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3), Sec. 12, eff. September 28, 2011.
Acts 2015, 84th Leg., R.S., Ch. 615 (S.B. 900), Sec. 8, eff. September 1, 2015.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter B. -1. Payment of Losses › Section 2210.074. Payment Through Class 2 Assessments

Sec. 2210.074.  PAYMENT THROUGH CLASS 2 ASSESSMENTS.  (a)  Losses in a catastrophe year not paid under Sections 2210.0715, 2210.072, 2210.0725, and 2210.073 shall be paid as provided by this section from Class 2 member assessments not to exceed $250 million for that catastrophe year.
(b)  The association, with the approval of the commissioner, shall notify each member of the amount of the member's assessment under this section.  The proportion of the losses allocable to each insurer under this section shall be determined in the manner used to determine each insurer's participation in the association for the year under Section 2210.052.
(c)  A member of the association may not recoup an assessment paid under this section through a premium surcharge or tax credit.
Added by Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 16, eff. June 19, 2009.
Amended by:
Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3), Sec. 13, eff. September 28, 2011.
Acts 2015, 84th Leg., R.S., Ch. 615 (S.B. 900), Sec. 9, eff. September 1, 2015.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter B. -1. Payment of Losses › Section 2210.0741. Payment Through Class 3 Public Securities

Sec. 2210.0741.  PAYMENT THROUGH CLASS 3 PUBLIC SECURITIES.  (a)  Losses not paid under Sections 2210.0715, 2210.072, 2210.0725, 2210.073, and 2210.074 shall be paid as provided by this section from the proceeds from Class 3 public securities authorized to be issued in accordance with Subchapter M on or after the date of any occurrence or series of occurrences that results in insured losses.  Public securities issued under this section must be paid within a period not to exceed 10 years, and may be paid sooner if the board of directors elects to do so and the commissioner approves.
(b)  Public securities described by Subsection (a):
(1)  shall be issued as necessary in a principal amount not to exceed $250 million per catastrophe year, in the aggregate, whether for a single occurrence or a series of occurrences; and
(2)  subject to the maximum described by Subdivision (1), may be issued, in one or more issuances or tranches, during the calendar year in which the occurrence or series of occurrences occurs or, if the public securities cannot reasonably be issued in that year, during the following calendar year.
(c)  If the losses are paid with public securities described by this section, the public securities shall be paid in the manner prescribed by Subchapter M.
Added by Acts 2015, 84th Leg., R.S., Ch. 615 (S.B. 900), Sec. 10, eff. September 1, 2015.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter B. -1. Payment of Losses › Section 2210.0742. Payment From Class 3 Assessments

Sec. 2210.0742.  PAYMENT FROM CLASS 3 ASSESSMENTS.  (a)  Losses in a catastrophe year not paid under Sections 2210.0715, 2210.072, 2210.0725, 2210.073, 2210.074, and 2210.0741 shall be paid as provided by this section from Class 3 member assessments not to exceed $250 million for that catastrophe year.
(b)  The association, with the approval of the commissioner, shall notify each member of the amount of the member's assessment under this section.  The proportion of the losses allocable to each insurer under this section shall be determined in the manner used to determine each insurer's participation in the association for the year under Section 2210.052.
(c)  A member of the association may not recoup an assessment paid under this section through a premium surcharge or tax credit.
Added by Acts 2015, 84th Leg., R.S., Ch. 615 (S.B. 900), Sec. 10, eff. September 1, 2015.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter B. -1. Payment of Losses › Section 2210.075. Reinsurance

Sec. 2210.075.  REINSURANCE.  (a)  Before any occurrence or series of occurrences, an insurer may elect to purchase reinsurance to cover an assessment for which the insurer would otherwise be liable under this subchapter.
(b)  An insurer must notify the board of directors, in the manner prescribed by the association whether the insurer will be purchasing reinsurance.  If the insurer does not elect to purchase reinsurance under this section, the insurer remains liable for any assessment imposed under this subchapter.
Added by Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 16, eff. June 19, 2009.
Amended by:
Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3), Sec. 14, eff. September 28, 2011.
Acts 2015, 84th Leg., R.S., Ch. 615 (S.B. 900), Sec. 11, eff. September 1, 2015.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter C. Association Board of Directors; General › Section 2210.101. Accountable to Commissioner

Sec. 2210.101.  ACCOUNTABLE TO COMMISSIONER.  The board of directors is responsible and accountable to the commissioner.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter C. Association Board of Directors; General › Section 2210.103. Terms

Sec. 2210.103.  TERMS.  (a)  Members of the board of directors serve three-year staggered terms, with the terms of three members expiring on the third Tuesday of March of each year.
(b)  A person may serve on the board of directors for not more than three consecutive full terms, not to exceed nine years.
(c)  A member of the board of directors may be removed by the commissioner with cause stated in writing and posted on the association's website.  The commissioner shall appoint a replacement in accordance with Section 2210.102 for a member who leaves or is removed from the board of directors.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 19, eff. June 19, 2009.
Acts 2015, 84th Leg., R.S., Ch. 615 (S.B. 900), Sec. 13, eff. September 1, 2015.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter C. Association Board of Directors; General › Section 2210.1031. Training

Sec. 2210.1031.  TRAINING.  (a)  A person who is appointed to and qualifies for office as a member of the board of directors may not vote, deliberate, or be counted as a member in attendance at a meeting of the board of directors until the person completes a training program that complies with this section.
(b)  The training program must provide the person with information regarding:
(1)  the law governing the operation of the association;
(2)  the programs, functions, rules, and budget of the association;
(3)  the scope of and limitations on the rulemaking authority of the board of directors;
(4)  the results of the most recent formal audit of the association;
(5)  the requirements of:
(A)  laws relating to open meetings, public information, administrative procedure, and conflict of interest disclosure; and
(B)  other laws applicable to the board of directors in performing the board's duties; and
(6)  any applicable ethics policies adopted by the association or the Texas Ethics Commission.
(c)  The general manager of the association shall create a training manual that includes the information required by Subsection (b).  The general manager shall distribute a copy of the training manual annually to each member of the board of directors.  Each member of the board of directors shall sign and submit to the general manager a statement acknowledging that the member received and has reviewed the training manual.
Added by Acts 2019, 86th Leg., R.S., Ch. 525 (S.B. 615), Sec. 4, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter C. Association Board of Directors; General › Section 2210.104. Officers

Sec. 2210.104.  OFFICERS.  The board of directors shall elect from the board's membership an executive committee consisting of a presiding officer, assistant presiding officer, and secretary-treasurer.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 20, eff. June 19, 2009.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter C. Association Board of Directors; General › Section 2210.105. Meetings

Sec. 2210.105.  MEETINGS.  (a)  Except for an emergency meeting, the association shall:
(1)  notify the department not later than the 11th day before the date of a meeting of the board of directors or of the members of the association; and
(2)  not later than the seventh day before the date of a meeting of the board of directors, post notice of the meeting on the association's Internet website and the department's Internet website.
(b)  Except for a closed meeting authorized by Subchapter D, Chapter 551, Government Code, a meeting of the board of directors or of the members of the association is open to  the public.
(b-1)  The commissioner or the commissioner's designated representative may attend a meeting of the board of directors or the members of the association, including a closed meeting authorized by Subchapter D, Chapter 551, Government Code, except for those portions of a closed meeting that involve the rendition of legal advice to the board concerning a regulatory matter or that would constitute an ex parte communication with the commissioner.
(c)  Notice of a meeting of the board of directors or the association must be given as provided by Chapter 551, Government Code.
(d)  Except for an emergency meeting, a meeting of the board of directors shall be held at a location as determined by the board of directors.
(e)  The association shall:
(1)  broadcast live on the association's Internet website all meetings of the board of directors, other than closed meetings; and
(2)  maintain on the association's Internet website an archive of meetings of the board of directors.
(f)  A recording of a meeting must be maintained in the archive required under Subsection (e) through and including the second anniversary of the meeting.
(g)  The presence of the commissioner or the commissioner's designated representative at a closed meeting does not waive or impair any privilege, including attorney-client privilege, that exists in statute or at common law.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 21, eff. June 19, 2009.
Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3), Sec. 16, eff. September 28, 2011.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter C. Association Board of Directors; General › Section 2210.1051. Meetings of Board of Directors

Sec. 2210.1051.  MEETINGS OF BOARD OF DIRECTORS.  (a)  Notwithstanding Chapter 551, Government Code, or any other law, members of the board of directors may meet by telephone conference call, videoconference, or other similar telecommunication method.  The board may use telephone conference call, videoconference, or other similar telecommunication method for purposes of establishing a quorum or voting or for any other meeting purpose in accordance with this subsection and Subsection (b).  This subsection applies without regard to the subject matter discussed or considered by the members of the board at the meeting.
(b)  A meeting held by telephone conference call, videoconference, or other similar telecommunication method:
(1)  is subject to the notice requirements applicable to other meetings of the board of directors;
(2)  may not be held unless notice of the meeting specifies the location of the meeting and a recording of the meeting is posted on the association's website;
(3)  must be audible to the public at the location specified in the notice under Subdivision (2); and
(4)  must provide two-way audio communication between all members of the board attending the meeting during the entire meeting, and if the two-way audio communication link with members attending the meeting is disrupted so that a quorum of the board is no longer participating in the meeting, the meeting may not continue until the two-way audio communication link is reestablished.
Added by Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 22, eff. June 19, 2009.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter C. Association Board of Directors; General › Section 2210.1052. Emergency Meeting

Sec. 2210.1052.  EMERGENCY MEETING.  If the ultimate loss estimate for an occurrence or series of occurrences made by the chief financial officer or chief actuary of the association indicates member insurers may be subject to an assessment under Subchapter B-1, the board of directors shall call an emergency meeting to notify the member insurers about the assessment.
Added by Acts 2019, 86th Leg., R.S., Ch. 790 (H.B. 1900), Sec. 3, eff. June 10, 2019.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter C. Association Board of Directors; General › Section 2210.106. Immunity of Director or Officer From Liability

Sec. 2210.106.  IMMUNITY OF DIRECTOR OR OFFICER FROM LIABILITY.  (a)  A director or officer of the association is not individually liable for an act or failure to act in the performance of official duties in connection with the association.
(b)  Subsection (a) does not apply to:
(1)  an act or failure to act of the association or an employee of the association;
(2)  an act or omission involving a motor vehicle; or
(3)  an act or failure to act that constitutes bad faith, intentional misconduct, or gross negligence.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter C. Association Board of Directors; General › Section 2210.107. Primary Board Objectives; Report

Sec. 2210.107.  PRIMARY BOARD OBJECTIVES; REPORT.  (a)  The primary objectives of the board of directors are to ensure that the board and the association:
(1)  operate in accordance with this chapter, the plan of operation, and commissioner rules;
(2)  comply with sound insurance principles;
(3)  meet all standards imposed under this chapter;
(4)  establish a code of conduct and performance standards for association employees and persons with which the association contracts; and
(5)  establish, and adhere to terms of, an annual evaluation of association management necessary to achieve the statutory purpose, board objectives, and any performance or enterprise risk management objectives established by the board.
(b)  Repealed by Acts 2019, 86th Leg., R.S., Ch. 525 (S.B. 615), Sec. 17, eff. September 1, 2019.
(c)  Not later than June 1 of each year, the association shall submit to the commissioner, the legislative oversight board established under Subchapter N, the governor, the lieutenant governor, and the speaker of the house of representatives a report evaluating the extent to which the board met the objectives described by Subsection (a) in the 12-month period immediately preceding the date of the report.
Added by Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 23, eff. June 19, 2009.
Amended by:
Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3), Sec. 17, eff. September 28, 2011.
Acts 2019, 86th Leg., R.S., Ch. 525 (S.B. 615), Sec. 17, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter C. Association Board of Directors; General › Section 2210.108. Open Meetings and Open Records

Sec. 2210.108.  OPEN MEETINGS AND OPEN RECORDS.  (a)  Except as specifically provided by this chapter or another law, the association is subject to Chapters 551 and 552, Government Code.
(b)  A settlement agreement to which the association is a party:
(1)  is public information and is not exempted from required disclosure under Chapter 552, Government Code; and
(2)  if applicable, must contain the name of any attorney or adjuster representing a claimant or the association in connection with the claim that is the basis of the settlement.
(c)  Subsection (b) may not be construed to limit or otherwise restrict the categories of information that are public information under Section 552.022, Government Code.
Added by Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3), Sec. 18, eff. September 28, 2011.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter C. Association Board of Directors; General › Section 2210.109. Disclosure of Conflicts

Sec. 2210.109.  DISCLOSURE OF CONFLICTS.  (a)  A member of the board of directors, or a member of a subcommittee of the board of directors that relates to underwriting and actuarial matters, shall disclose any potential conflict of interest of the member known by the member with respect to a matter for discussion or vote by the board or subcommittee, as applicable, before the discussion or vote.  A potential conflict of interest is an interest that may reasonably be expected to diminish the member's independent judgment with respect to the matter for discussion or vote.  Potential conflicts of interest required to be disclosed under this section include:
(1)  a financial or personal interest in an entity that may financially benefit from the outcome of the discussion or vote; and
(2)  holding an insurance policy issued by the association that may be affected by the discussion or vote.
(b)  A disclosure under this section must be made available to the public.  A board or subcommittee member satisfies this requirement if:
(1)  with respect to an open meeting or meeting broadcast live on the association's Internet website, the member publicly discloses the conflict of interest in the meeting or during the broadcast; or
(2)  with respect to a meeting that is not an open meeting or broadcast live on the association's Internet website, the member discloses the conflict of interest in the agenda of the meeting and makes the agenda publicly available on the association's Internet website before the meeting.
Added by Acts 2019, 86th Leg., R.S., Ch. 525 (S.B. 615), Sec. 5, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter D. Plan of Operation › Section 2210.151. Adoption of Plan of Operation

Sec. 2210.151.  ADOPTION OF PLAN OF OPERATION.  With the advice of the board of directors, the commissioner by rule shall adopt the plan of operation to provide  Texas windstorm and hail insurance in a catastrophe area.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 24, eff. June 19, 2009.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter D. Plan of Operation › Section 2210.152. Contents of Plan of Operation

Sec. 2210.152.  CONTENTS OF PLAN OF OPERATION.  (a)  The plan of operation must:
(1)  provide for the efficient, economical, fair, and nondiscriminatory administration of the association; and
(2)  include:
(A)  a plan for the equitable assessment of the members of the association to defray losses and expenses;
(B)  underwriting standards;
(C)  procedures for accepting and ceding reinsurance;
(D)  procedures for obtaining and repaying amounts under any financial instruments authorized under this chapter;
(E)  procedures for determining the amount of insurance to be provided to specific risks;
(F)  time limits and procedures for processing applications for insurance;
(G)  a requirement that a nonresident agent licensed under Section 4056.052 may not offer or sell a Texas windstorm and hail insurance policy under this chapter unless the nonresident agent's state of residence authorizes a resident agent licensed in this state to act in the nonresident agent's state as an agent for that state's residual insurer of last resort for windstorm and hail insurance; and
(H)  other provisions as considered necessary by the department to implement the purposes of this chapter.
(b)  The plan of operation may provide for liability limits for an insured structure and for the corporeal movable property located in the structure.
(c)  The plan of operation shall require the association to use the claim settlement guidelines published by the commissioner under Section 2210.578(f) in evaluating the extent to which a loss to insured property is incurred as a result of wind, waves, tidal surges, or rising waters not caused by waves or surges.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 25, eff. June 19, 2009.
Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3), Sec. 19, eff. September 28, 2011.
Acts 2017, 85th Leg., R.S., Ch. 878 (H.B. 3018), Sec. 1, eff. January 1, 2018.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter D. Plan of Operation › Section 2210.153. Amendments to Plan of Operation

Sec. 2210.153.  AMENDMENTS TO PLAN OF OPERATION.  (a)  The association may present a recommendation for a change in the plan of operation to the department at:
(1)  periodic hearings conducted by the department for that purpose; or
(2)  hearings relating to property and casualty insurance rates.
(b)  The association must present a proposed change to the department in writing in the manner prescribed by the commissioner.  A proposed change does not take effect unless adopted by the commissioner by rule.
(c)  An interested person may, in accordance with Chapter 2001, Government Code, petition the commissioner to modify the plan of operation.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter E. Insurance Coverage › Section 2210.201. Definition of Insurable Interest

Sec. 2210.201.  DEFINITION OF INSURABLE INTEREST.  In this subchapter, "insurable interest" includes any lawful and substantial economic interest in the safety or preservation of property from loss, destruction, or pecuniary damage.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter E. Insurance Coverage › Section 2210.202. Application for Coverage; Declination Requirement

Sec. 2210.202.  APPLICATION FOR COVERAGE; DECLINATION REQUIREMENT.  (a)  A person who has an insurable interest in insurable property may apply to the association for insurance coverage provided under the plan of operation and an inspection of the property, subject to any rules established by the board of directors and approved by the commissioner.  The association shall make insurance available to each applicant in the catastrophe area whose property is insurable property but who, after diligent efforts, is unable to obtain property insurance through the voluntary market, as evidenced by one declination from an insurer authorized to engage in the business of, and writing, property insurance providing windstorm and hail coverage in the first tier coastal counties.  For purposes of this section, "declination" has the meaning assigned by the plan of operation and shall include a refusal to offer coverage for the perils of windstorm and hail and the inability to obtain substantially equivalent insurance coverage for the perils of windstorm and hail.  Notwithstanding Section 2210.203(c), evidence of one declination every three calendar years is required before renewal of an association policy.
(b)  A property and casualty agent must submit an application for initial insurance coverage on behalf of the applicant on forms prescribed by the association.   An application for initial coverage must contain:
(1)  a statement as to whether the applicant has submitted or will submit the required premium payment from personal funds or, if not, to whom a balance is or will be due; and
(2)  a statement that the agent acting on behalf of the applicant possesses proof of the declination described by Subsection (a) and proof of flood insurance coverage or unavailability of that coverage as described by Section 2210.203(a-1).
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 548 (S.B. 1263), Sec. 2.15, eff. September 1, 2007.
Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 26, eff. June 19, 2009.
Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3), Sec. 20, eff. September 28, 2011.
Acts 2019, 86th Leg., R.S., Ch. 525 (S.B. 615), Sec. 6, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter E. Insurance Coverage › Section 2210.203. Issuance of Coverage; Term; Renewal

Sec. 2210.203.  ISSUANCE OF COVERAGE; TERM; RENEWAL.  (a)  If the association determines that the property for which an application for initial insurance coverage is made is insurable property, the association, on payment of the premium in full or in part as authorized under Section 2210.2032, shall direct the issuance of an insurance policy as provided by the plan of operation.
(a-1)  This subsection applies only to a structure constructed, altered, remodeled, or enlarged on or after September 1, 2009, and only for insurable property located in areas designated by the commissioner.  Notwithstanding Subsection (a), if all or any part of the property to which this subsection applies is located in Zone V or another similar zone with an additional hazard associated with storm waves, as defined by the National Flood Insurance Program, and if flood insurance under that federal program is available, the association may not issue an insurance policy for initial or renewal coverage unless evidence that the property is covered by a flood insurance policy is submitted to the association.  An agent offering or selling a Texas windstorm and hail insurance policy in any area designated by the commissioner under this subsection shall offer flood insurance coverage to the prospective insured, if that coverage is available.
(b)  A policy issued under this section is for a one-year term.
(c)  A policy may be renewed annually as long as the property continues to be insurable property.
(c-1)  With the advice of the association, the commissioner shall adopt rules establishing a grace period of not more than 10 days after the due date for the receipt of payment of premium for the renewal of a policy.
(d)  The commissioner, after receiving a recommendation from the board of directors, shall approve a commission structure for payment of an agent who submits an application for coverage to the association on behalf of a person who has an insurable interest in insurable property.  The commission structure adopted by the commissioner must be fair and reasonable, taking into consideration the amount of work performed by an agent in submitting an application to the association and the prevailing commission structure in the private windstorm market.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 27, eff. June 19, 2009.
Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3), Sec. 21, eff. September 28, 2011.
Acts 2019, 86th Leg., R.S., Ch. 525 (S.B. 615), Sec. 7, eff. September 1, 2019.
Acts 2021, 87th Leg., R.S., Ch. 353 (H.B. 2920), Sec. 1, eff. September 1, 2021.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter E. Insurance Coverage › Section 2210.2031. Automatic Renewal

Sec. 2210.2031.  AUTOMATIC RENEWAL.  (a)  The association shall establish a process for automatic renewal of a residential property policy in accordance with this section.
(b)  The process established under Subsection (a) must:
(1)  provide for the association to verify:
(A)  the declination required by Section 2210.202;
(B)  flood insurance coverage required by Section 2210.203; and
(C)  any other information related to insurability of a property, including changes to the condition or value of the property that would affect the availability of coverage or premium cost to insure the property; and
(2)  provide an opportunity for the policyholder to elect to cancel the policy before the policy automatically renews.
Added by Acts 2019, 86th Leg., R.S., Ch. 525 (S.B. 615), Sec. 8, eff. September 1, 2019.
Amended by:
Acts 2023, 88th Leg., R.S., Ch. 40 (S.B. 2233), Sec. 1, eff. September 1, 2023.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter E. Insurance Coverage › Section 2210.2032. Premium Payment Methods

Sec. 2210.2032.  PREMIUM PAYMENT METHODS.  (a)  The association shall accept payment of premium by credit card.  The association may impose a fee on a policyholder for the use of a credit card to pay premium.  The fee may not exceed the amount necessary to recoup the cost incurred by the association in connection with the policyholder's use of a credit card.
(b)  The association shall provide to policyholders the option to pay premium in installments.  A policyholder that pays premium in accordance with an installment payment plan established by the association and remains current on the payments satisfies the obligation for payment of premium under this chapter.
Added by Acts 2019, 86th Leg., R.S., Ch. 525 (S.B. 615), Sec. 8, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter E. Insurance Coverage › Section 2210.2041. Nonrefundable Surcharge

Sec. 2210.2041.  NONREFUNDABLE SURCHARGE.  A nonrefundable surcharge established under this chapter is not refundable under this code for any reason or purpose.
Added by Acts 2009, 81st Leg., R.S., Ch. 1408 (H.B. 4409), Sec. 29, eff. June 19, 2009.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter E. Insurance Coverage › Section 2210.205. Required Policy Provisions: Deadline for Filing Claim; Notice Concerning Resolution of Certain Disputes

Sec. 2210.205.  REQUIRED POLICY PROVISIONS: DEADLINE FOR FILING CLAIM; NOTICE CONCERNING RESOLUTION OF CERTAIN DISPUTES.  (a)  A windstorm and hail insurance policy issued by the association must:
(1)  require an insured to file a claim under the policy not later than the first anniversary of the date on which the damage to property that is the basis of the claim occurs;
(2)  contain, in boldface type, a conspicuous notice concerning the resolution of disputes under the policy, including:
(A)  the processes and deadlines for appraisal under Section 2210.574 and alternative dispute resolution under Section 2210.575;
(B)  the binding effect of appraisal under Section 2210.574; and
(C)  the necessity of complying with the requirements of Subchapter L-1 to seek relief, including judicial relief; and
(3)  contain a conspicuous notice concerning the availability of supplemental payments under the policy, including:
(A)  a description of the process for requesting a supplemental payment; and
(B)  notice of applicable deadlines related to supplemental payments.
(b)  The commissioner, on a showing of good cause by a person insured under this chapter, may extend the one-year period described by Subsection (a)(1) for a period not to exceed 180 days.
Added by Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3), Sec. 23, eff. September 28, 2011.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 525 (S.B. 615), Sec. 9, eff. September 1, 2019.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter E. Insurance Coverage › Section 2210.207. Windstorm and Hail Insurance: Replacement Cost Coverage

Sec. 2210.207.  WINDSTORM AND HAIL INSURANCE:  REPLACEMENT COST COVERAGE.  (a)  In this section, "roof covering" means:
(1)  the roofing material exposed to the weather;
(2)  the underlayments applied for moisture protection; and
(3)  all flashings required in the replacement of a roof covering.
(b)  Subject to any applicable deductibles and the limits for the coverage purchased by the insured, a windstorm and hail insurance policy issued by the association may include replacement cost coverage for one- and two-family dwellings, including outbuildings, as provided under the dwelling extension coverage in the policy.
(c)  If, on the effective date of an association policy, the total amount of insurance applicable to a dwelling is equal to 80 percent or more of the full replacement cost of the dwelling or equal to the maximum amount of insurance otherwise available through the association, coverage applicable to the dwelling under the policy is extended to include the full cost of repair or replacement, without a deduction for depreciation.
(d)  If, on the effective date of an association policy, the total amount of insurance applicable to a dwelling is equal to less than 80 percent of the full replacement cost of the dwelling and less than the maximum amount of insurance available through the association, liability for loss under the policy may not exceed the replacement cost of the part of the dwelling that is damaged or destroyed, less depreciation.
(e)  Notwithstanding this chapter or any other law, the commissioner, after notice and hearing, may adopt rules to:
(1)  authorize the association to provide actual cash value coverage instead of replacement cost coverage on the roof covering of a building insured by the association; and
(2)  establish:
(A)  the conditions under which the association may provide that actual cash value coverage;
(B)  the appropriate premium reductions when coverage for the roof covering is provided on an actual cash value basis; and
(C)  the disclosure that must be provided to the policyholder, prominently displayed on the face of the windstorm and hail insurance policy.
(f)  Notwithstanding Chapter 40, a hearing under Subsection (e) shall be held before the commissioner or the commissioner's designee.
(g)  The commissioner may adopt rules as necessary to implement this section.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 525 (S.B. 615), Sec. 10, eff. September 1, 2019.
Acts 2019, 86th Leg., R.S., Ch. 790 (H.B. 1900), Sec. 4, eff. June 10, 2019.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter E. Insurance Coverage › Section 2210.208. Windstorm and Hail Insurance: Coverage for Certain Indirect Losses

Sec. 2210.208.  WINDSTORM AND HAIL INSURANCE:  COVERAGE FOR CERTAIN INDIRECT LOSSES.  (a)  Except as provided by Subsections (e) and (f), a windstorm and hail insurance policy issued by the association for a dwelling, as that term is defined by the department or a successor to the department, must include coverage for:
(1)  wind-driven rain damage, regardless of whether an opening is made by the wind;
(2)  loss of use; and
(3)  consequential losses.
(b)  A windstorm and hail insurance policy issued by the association for tenant contents of a dwelling or other residential building must include coverage for loss of use and consequential losses.
(c)  The coverage required under Subsection (a) or (b) must be made:
(1)  according to forms approved by the commissioner; and
(2)  for a premium paid by the insured based on rates established by commissioner rule.
(d)  The association shall provide coverage under this section as directed by commissioner rule.
(e)  The association is not required to offer coverage for indirect losses as provided by Subsection (a) or (b) unless that coverage was excluded from a companion policy in the voluntary market.
(f)  The association is not required to provide coverage for:
(1)  loss of use, if the loss is loss of rent or loss of rental value; or
(2)  additional living expenses, if the insured property is a secondary or a nonprimary residence.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter E. Insurance Coverage › Section 2210.209. Windstorm and Hail Insurance: Coverage for Certain Property Located Over Water

Sec. 2210.209.  WINDSTORM AND HAIL INSURANCE:  COVERAGE FOR CERTAIN PROPERTY LOCATED OVER WATER.  (a)  A windstorm and hail insurance policy issued by the association may include coverage for:
(1)  a building or other structure located in the seacoast territory that is built wholly or partially over water; and
(2)  the corporeal movable property contained in a building or structure described by Subdivision (1).
(b)  The association may impose appropriate limits of coverage and deductibles for coverage described by Subsection (a).
(c)  The board of directors of the association shall submit any proposed changes to the plan of operation necessary to implement Subsections (a) and (b) to the commissioner in the manner provided by Section 2210.153.
(d)  The commissioner shall adopt rules as necessary to implement this section, including any rules necessary to implement changes in the plan of operation proposed under Subsection (c).
Added by Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 3B.062(a), eff. September 1, 2007.
Added by Acts 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167), Sec. 9.062(a), eff. September 1, 2007.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter E. Insurance Coverage › Section 2210.210. Coverage of Certain Structures Prohibited

Sec. 2210.210.  COVERAGE OF CERTAIN STRUCTURES PROHIBITED.  The association may not issue coverage for a wind turbine regardless of whether the turbine could otherwise be considered insurable property under this chapter.
Added by Acts 2011, 82nd Leg., 1st C.S., Ch. 2 (H.B. 3), Sec. 23, eff. September 28, 2011.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter F. Property Inspections for Windstorm and Hail Insurance › Section 2210.252. International Residential Code Building Specifications

Sec. 2210.252.  INTERNATIONAL RESIDENTIAL CODE BUILDING SPECIFICATIONS.  (a)  After January 1, 2004, for geographic areas specified by the commissioner, the commissioner by rule may supplement the plan of operation building specifications with the structural provisions of the International Residential Code for one- and two-family dwellings, as published by the International Code Council or an analogous entity recognized by the department.
(b)  For a geographic area specified under Subsection (a), the commissioner by rule may adopt a subsequent edition of the International Residential Code for one- and two-family dwellings and may adopt a supplement published by the International Code Council or an amendment to that code.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.
2023 Texas Statutes › Insurance Code › Title 10 - Property and Casualty Insurance › Subtitle G - Pools, Groups, Plans, and Self-Insurance › Chapter 2210 - Texas Windstorm Insurance Association › Subchapter F. Property Inspections for Windstorm and Hail Insurance › Section 2210.253. Insurer Assessment: First Tier Coastal County

Sec. 2210.253.  INSURER ASSESSMENT:  FIRST TIER COASTAL COUNTY.  (a)  In this section, "property insurance" means a commercial or residential insurance policy prescribed or approved by the department that provides coverage for windstorm and hail damage, including a Texas windstorm and hail insurance policy.
(b)  The department shall assess each insurer that provides property insurance in a first tier coastal county in accordance with this section.
(c)  The total assessment under this section in a state fiscal year must be in the amount estimated by the department as necessary to cover the administrative costs of the windstorm inspection program under Section 2210.251 to be incurred in the first tier coastal counties in that fiscal year.
(d)  The assessment must be based on each insurer's proportionate share of the total extended coverage and other allied lines premium received by all insurers for property insurance in the first tier coastal counties in the calendar year preceding the year in which the assessment is made.
(e)  The commissioner shall adopt rules to implement the assessment of insurers under this section.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.