TWIA Board Finalizes Financial Preparations for 2022 Hurricane SeasonPublished on: May 17, 2022
The TWIA Board of Directors met on May 17 for their second quarterly meeting of 2022. The Board approved a $500 million line of credit to enhance the Association’s liquidity if a catastrophic storm impacts the Texas coast this year. If needed to pay claims, the line of credit would be repaid from the proceeds of Class 1 public securities issued after the storm as provided by TWIA’s governing statute.
The Board also received an update on reinsurance and catastrophe funding for the 2022 storm season. The Board previously approved total funding of $4.236 billion for this year’s storm season.
General Manager John Polak previously announced that he will retire at the end of 2022. The Board discussed the search and transition process for a new General Manager. Board Chair Chandra Franklin Womack appointed Board members Michael Gerik and Peggy Gonzalez to a selection committee that she will chair. The Board authorized Chair Franklin Womack to retain an executive search firm to assist the committee in this process.
The Board received the following updates:
- Upgraded policy, claims, and billing systems and new agent and policyholder portals were launched as scheduled on April 18 and are working as expected.
- The Association completed the early redemption of the Series 2014 Bonds on May 9. TWIA used the proceeds from these bonds to pay claims from Hurricane Harvey in 2017. The early redemption of the bonds will save the Association approximately $16 million through 2024.
- The Legislative and External Affairs Committee met on April 27 to begin work on TWIA’s 2022 Biennial Report to the Legislature. The Committee is seeking additional input from legislators and is expected to meet again in mid-June.
If you are a member of the media and have questions about the Board meeting, please email MediaRelations@TWIA.org.
The meeting materials and archived recording for the Board meeting are available on our Archived Meetings page.