Published Date: May 22, 2023
Who are the insurers participating in the TWIA depopulation programs?
Insurers who are authorized to write insurance in Texas with forms approved by and rates filed with TDI are eligible to participate in the programs. These insurers must sign a Non-Disclosure Agreement (NDA) and Participation Agreement to access policy data. A separate Participation Agreement must be made for each depopulation program, and as of the […]
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Published Date: May 22, 2023
What is depopulation?
Depopulation is a series of programs authorized by 2015 state law and designed to provide TWIA policyholders with alternative options for wind and hail insurance in the private market. The programs function in the following way: TWIA provides policy data to participating insurers who then make offers to assume, or transfer, TWIA policies.
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Published Date: May 22, 2023
What is the Voluntary Market Depopulation Program?
Authorized by the Texas Legislature in 2015, the Voluntary Market Depopulation Program allows participating insurers to make offers on TWIA policies one at a time at policy renewal. A Texas-authorized insurer must execute a NDA and Participation Agreement to access TWIA policy data and identify policies. Offers are made on an ongoing basis at the […]
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Published Date: May 22, 2023
What is the Assumption Reinsurance Depopulation Program?
Authorized by the Texas Legislature in 2015 and amended in 2019, the Assumption Reinsurance Depopulation Program allows participating insurers to make annual offers on large numbers of TWIA policies. A Texas-authorized insurer may participate in the Assumption Reinsurance Depopulation Program. The insurer must execute a NDA and Participation Agreement to access TWIA policy data and […]
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Published Date: May 22, 2023
What information is available to insurers participating in the depopulation programs?
State law outlines the content that can be accessed by approved insurance companies, which includes the policyholder name, insured property address, policy number, policy effective date, coverage and premium information, and building characteristics such as construction and age of the home. TWIA is responsible for keeping other policyholder information private such as bank account and […]
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Published Date: May 22, 2023
Are residential and commercial included under both programs?
Yes, both depopulation programs include commercial as well as residential policies.
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Published Date: May 22, 2023
If policyholders want to come back at any point, can they?
Policyholders may return to TWIA at any time after accepting an offer of coverage from a participating insurer. TWIA’s general eligibility requirements, including Certificates of Compliance (WPI-8, WPI-8-E, or WPI-8-C), will apply.
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Published Date: May 22, 2023
How will participating insurers handle Certificates of Compliance (WPI-8, WPI-8-E, or WPI-8-C)?
Certificates of Compliance (WPI-8, WPI-8-E, or WPI-8-C) are not a statutory requirement for insurers participating in the depopulation program, so unlike TWIA, these insurance companies may not require certification. However, TWIA recommends policyholders continue to have qualifying repairs certified to avoid potential eligibility issues if the policyholder needs to return to TWIA in the future. […]
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Published Date: May 22, 2023
Do policyholders need to get a Certificate of Compliance even if they take the offer from the depopulation insurer?
We will be communicating to policyholders and agents that although participating insurers may not require Certificates of Compliance (WPI-8, WPI-8-E, or WPI-8-C), TWIA recommends policyholders continue to get qualifying repairs certified to avoid potential eligibility issues if the policyholder needs to return to TWIA in the future. TWIA’s general eligibility requirements, including Certificates of Compliance […]
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Published Date: May 22, 2023
Is there a maximum number of policies that can be taken out?
While there is not a maximum number of policies which can be taken out, TWIA will consider its contractual debt covenants and need to maintain its financial standing in determining how many policies can be taken out of TWIA.
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Published Date: May 22, 2023
How do the depopulation programs work with regard to policy changes?
Regarding the Voluntary Market Depopulation Program, the new policy is written by the new insurer and that insurer is responsible for policy changes. For the Assumption Reinsurance Depopulation Program, TWIA is responsible for policy changes until the new insurer issues the policy.
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