TWIA Board sets $4.3 Billion as 1-in-50 Probable Maximum Loss for 2026 Storm Season 

Published on: February 24, 2026

The Texas Windstorm Insurance Association’s (TWIA) Board of Directors met on February 24 and voted to finalize $4.3 billion as the Association’s 1-in-50 probable maximum loss (1:50 PML) for the 2026 storm season. The 1:50 PML is the level of losses that would be expected to be exceeded on an annual basis 2% or less of the time. This benchmark establishes the minimum amount of reinsurance needed to meet TWIA’s statutory funding obligation for the upcoming storm season. 

TWIA will pursue a total of $2.28 billion in reinsurance for the 2026 hurricane season – including new coverage and existing multi-year catastrophe bonds – on the most favorable terms that can be achieved in the market. This reinsurance funding is in addition to $2 billion in statutory funding sources.  

Changes enacted by the Texas Legislature last year reduced TWIA’s minimum required catastrophe funding level. Previously, the Association was required to obtain catastrophe funding based on a 1-in-100 probable maximum loss, or the level of losses that would be expected to be exceeded on an annual basis 1% or less of the time. 

Other Actions 

The Board Chair announced that the Insurance Commissioner recently appointed Jamie Carsey of Humble, Texas, to a vacant seat on the TWIA Board as an Insurance Industry Representative. Ms. Carsey is Chief Claims Officer for Markel Service, Incorporated, a global specialty insurer.  

The Board received routine operational updates from staff and took the following actions: 

  • Appointed the following Board members to the Legislative & External Affairs Committee: Dr. Etti Baranoff, Terrilyn Tarlton Shannon, and John Todd. 

    • The Committee will develop recommendations to present to the Board regarding the content of the Biennial Report to the 90th Texas Legislature. The Biennial Report must be submitted to the Legislature in the year before each legislative session and include proposed changes to the law relating to the regulation of TWIA and the reasons for the proposed changes. 
  • Appointed the following Board members to a committee to develop performance criteria for the Association’s General Manager: Karen Guard, Dr. Etti Baranoff, Greg Smith, and Mark Shewmaker. 

Members of the media with questions about the Board meeting, please email MediaRelations@TWIA.org.

The meeting materials and archived recording for the Board meeting are available on our Meeting Library page.