TWIA Answers Questions Submitted During October 6 Claims Webinar

Thank you to those of you who joined us for our webinar about TWIA’s claims process on October 6, 2021. If you were unable to attend the webinar or want to reference the information we shared, a recording is available here: TWIA Claims Webinar: Your Nicholas Questions Answered. The webinar presentation is available here.

We received many excellent questions during the webinar’s Q&A session and thought it would be helpful to publish them along with their answers on our website for your reference. Some questions have been edited for length and clarity. They are categorized by subject below.

 

Questions about TWIA’s Claims Handling and Payment Processes

Q. We received our damage estimate from TWIA, and it appears the adjuster missed a few things. For example, the adjuster approved replacing our flooring, but did not include replacing the layer below the flooring. Also, the estimate does not include damage from one of our rooms. We also believe the adjuster applied more depreciation on the flooring than on our much older roof. The flooring TWIA agreed to replace is only one year old and was in perfect condition.
A. If you believe there are items missing from your damage estimate or disagree with the amount TWIA has estimated for repairs, please let us know. We will work with you to address your concerns in a timely fashion. The best documentation to send us is a line-item estimate from your contractor that includes any additional work needed to address repairs. You can submit your estimate and any other documentation of the damage to TWIA though our online claim portal, Claims Center.

Q. Are electrical issues covered by TWIA?
A. TWIA’s dwelling policies are known as “named peril policies.” These policies only cover damage caused by wind or hail. On a dwelling policy, if electrical is damaged from wind or hail and not excluded, then it is covered. Some policies, such as renters and condominium policies, may not include coverage for electrical damage. Discuss the items you are claiming with your claims examiner to determine what is covered.

Q. Are the ceiling and insulation covered by my TWIA policy?
A. Generally, unless an item is specifically excluded in your TWIA policy, the policy covers your entire dwelling, including the ceiling and insulation. Some policies, such as renters and condominium, may not cover these items. Your claim examiner can provide coverage details on your claim.

Q. Will TWIA’s damage estimate take into consideration current price increases on materials like shingles and siding due to pandemic-driven shortages unrelated to the storm? How do you calculate depreciation when there are no records of when renovations/installations were completed?
A. TWIA creates damage estimates using software that can check the current unit pricing for materials in your ZIP code. The software updates the pricing monthly and calculates any applicable depreciation based on the adjuster’s findings. Depending on market conditions, there may be price differences between your contractor’s estimate and TWIA’s. You can submit any differences you find between the line-item estimates to us to review and determine if additional payment is needed. We encourage you to submit this information though our online claim portal, Claims Center.

Q. During the webinar, you kept saying “60 days.” Please explain to what that refers.
A. Generally, you have 60 days from the date of TWIA’s acceptance or partial acceptance letter to advise TWIA of a disagreement. The acceptance or partial acceptance letter includes details of disputing the accepted items on your loss. Additional time for dispute is available, depending on the policy in-force for the claim.

Q. A contractor is requesting 50% down with the balance due upon completion. Should I make a down payment?
A. A contract for work to be performed is between the policyholder and the contractor. While TWIA does not make specific recommendations, we would agree that 50% or less to get work started is reasonable.

Q. What happens if you own a condominium unit in a high rise that has its own TWIA policy and damage occurs to the outside of the building where the unit is located (for example: a balcony is being renovated and left open and the windows are damaged during the renovation)? Is repair of the damage the responsibility of the construction company that won the bid for the work, or would the TWIA-insured condominium association cover any damage caused to the outside of the building? One adjuster has been assigned to inspect the damage to both the condominium association and individual units. The unit owners are very concerned that we will be asked to pay individual deductibles. Earlier this year, damage from the same renovation of balconies and the repairs were covered without the owners filing claims individually.
A. As a condominium unit owner, it is important to understand who is responsible for what part of the property. This starts with understanding your condominium association’s bylaws and other association documents. TWIA’s policies do not provide coverage for items that are covered under another insurance policy. Therefore, items covered under the master policy cannot be covered by the unit owner’s policy. The standard TWIA condominium policy for unit owners only provides coverage for personal property and additions, alterations, and fixtures.

Q. We have already had our property inspection, and TWIA has sent us the first claim payment check. However, after getting multiple contractor estimates, we believe TWIA has not given us enough money for repairs. How do we request more money from TWIA to cover the repairs? Additionally, most of our damage came from wind-driven rain. We have brand new impact-resistant windows; however, so much water came into the windows that it flooded the house. Will our insurance claim cover the cost to purchase and install hurricane shutters, so this does not happen again?
A. If you believe there are items missing from your damage estimate or disagree with the amount TWIA has estimated for repairs, please let us know. We will work with you to address your concerns in a timely fashion. The best documentation to send us is a line-item estimate from your contractor that includes any additional work needed to address repairs. You can submit your estimate and any other documentation of the damage to TWIA though our online claim portal, Claims Center.

Damage from wind-driven rain is only covered under your policy if wind or hail caused damage that allowed rain to enter the dwelling. If there is no storm-created opening, and the wind has driven rain into the home, that damage is only covered if your policy has the Form No. TWIA 320 endorsement. This endorsement, which is available for an increase in premium, provides coverage for interior water damage, but not for replacement of windows with damage that is unrelated to wind or hail.

Q. Is damage to my vehicle by falling branches covered?
A. TWIA policies do not cover registered motor vehicles. Please review your policy for specifics on non-registered vehicles.

Q. I am having trouble logging into Claims Center. What can I do?
A. For assistance logging in and registering with Claims Center, you can email claimscenter@twia.org.

Q. It has been three weeks since the adjuster completed my property inspection. When should I expect to see the adjuster’s report?
A. If you have not been contacted by TWIA within three weeks of your inspection, please contact us though our online claim portal, Claims Center, or by calling (800) 788-8247, Option 1.

Q. What if I can get the repairs done for less than TWIA’s damage estimate?
A. You do not need to do anything if you are able to complete your repairs for less than we paid you. Make sure you get your repairs certified by the Texas Department of Insurance (TDI) Windstorm Inspection Program, if required.

 

Questions about Windstorm Certification

Effective June 1, 2020, TWIA is no longer accepting applications for Certificates of Compliance (WPI-8, WPI-8C, or WPI-8E). The windstorm certification process is now administered solely by the Texas Department of Insurance (TDI) Windstorm Inspection Program.

TDI Windstorm Inspection Program:

Q. I have a WPI-8 from 2018. Do I need to get a new one?
A. A Certificate of Compliance (WPI-8, WPI-8C, or WPI-8C) for past construction or repairs does not expire. However, most new construction, roof replacements, major repairs, and other alterations require an inspection and Certificate of Compliance. If you are making any repairs or other improvements to your property, contact TDI to determine if you will need to get a Certificate of Compliance.

Q. When is a WPI-8 waiver surcharge applicable?
A. Texas law identifies some exceptions for structures lacking a Certificate of Compliance. Properties with construction from 1988 to June 9, 2009 that are not certified may still be eligible and are subject to a 15% premium surcharge. Applicants who are non-renewed or cancelled by their private market insurer on or after June 9, 2009, and whose structure is missing a required Certificate of Compliance for construction after that date, may be eligible with a premium based on 110% of the rate charged by the voluntary market for windstorm and hail coverage.

Q. What is the best avenue to get a post-construction inspection scheduled, completed, and a Certificate of Compliance issued? Is there a list of price estimates on costs for different items to be inspected post-construction such as greatest being: whole home inspection or least (maybe window installation)?
A. We recommend contacting TDI to get more information about obtaining a Certificate of Compliance for a post-construction improvement to a property.

Q. Is there a list of contractors on the TWIA website that are certified under the windstorm certification guidelines?
A. No. The windstorm certification process is administered by the TDI Windstorm Inspection Program. We recommend contacting them directly regarding individuals who can help you obtain a Certificate of Compliance for repairs.

Q. Do I need a Certificate of Compliance for repairing or replacing a fence or for drywall repair?
A. Although, TDI maintains an online list of repairs that do not require a Certificate of Compliance, we recommend contacting TDI to get more information about repairs requiring a Certificate of Compliance.

Q. If my home does not have a Certificate of Compliance, can I have the home certified during the replacement of my roof?
A. There are options for certifying construction or repairs after they have been completed. Please contact TDI for guidance on obtaining a Certificate of Compliance for completed construction.

Q. Is the contractor that completes repairs legally required to contact TDI to schedule inspection of work or is that up to the homeowner? Any remediation available?
A. Many contractors who do business on the coast are familiar with the windstorm certification requirements. However, the homeowner should ensure this step is completed by the contractor or contact TDI directly to learn about the steps need to obtain a Certificate of Compliance for repairs.

Q. A contractor says he has an engineer come out throughout the repair process to photograph each step to prove all the work is done. Then they send that, along with the final paperwork, to TWIA. Is that correct?
A. TWIA is no longer accepting applications for Certificates of Compliance. The windstorm certification process is now administered solely by the TDI Windstorm Inspection Program. You can contact TDI about the steps required to obtain a Certificate of Compliance.