Policy Documents

Four Problems, Four Solutions: A Blueprint for Reforming Texas’s Insurance Environment

Eli Lehrer –
March 9, 2011

This report reviews four major problems with Texas’s insurance environment and proposes four categories of action that elected leaders should take in order to remedy them.

The right actions will make the state more fiscally stable, safer, and more resistant to nature’s worst.The Texas Windstorm Insurance Association’s management, its costs, the retreat of many private insurers, and inadequate coastal mitigation efforts are Texas’s biggest property insurance problems. To solve them, efforts should be undertaken to reform TWIA’s structure, change regulations to attract insurers, and invest in coastal mitigation.

Although the problems with Texas’s property insurance system are significant, the right actions will make the state more fiscally stable, safer, and more resistant to nature’s worst.