Assumption Reinsurance Depopulation Program Round 5 Has Started

TWIA’s Assumption Reinsurance Depopulation Program (Assumption Program) for Round 5 is underway. TWIA and the Texas Department of Insurance (TDI) are now accepting program application packages from carriers who wish to participate. 
Authorized by the Texas Legislature in 2015 and amended in 2019, the Assumption Program is an annual process where participating insurers make offers on large numbers of TWIA’s policies. The program is designed to provide TWIA policyholders with alternative options for wind and hail insurance in the private market.  

Program Changes
Program Timeline: Recent law changes required TWIA to amend the program so no major milestones are decided during hurricane season each year from June 1 to November 30. The law change also limits the policyholders’ period to review offers to no more than 60 days. TDI recently approved the amended program.

No Reinsurance Period: The other substantive program change approved by TDI was to do away with the Quota Share Reinsurance Contract and reinsurance period of the program.

Apart from the timeline and reinsurance aspects of the program, the program milestones and sequence remain the same.

Note that under the revised program, the first deadline for carriers to submit the program application package to TWIA and TDI is October 1. However, due to the time constraints of the first revised year, we are asking that carriers apply as soon as possible, and no later than November 23. 

Please see the Summary Timeline below and this Document Index for more information and contact us at if you have any questions.