The Texas Windstorm Insurance Association Board of Directors met in Austin for its second quarterly meeting of 2023. The Board received an update on reinsurance funding for the 2023 storm season and routine operational highlights. The Board approved $4.5 billion in total funding for this year’s storm season at its April 18 meeting.
The Board also voted to secure a $500 million line of credit to ensure the availability of funds to quickly pay claims 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 discussed its contract with Aon for catastrophe modeling services and directed staff to meet with Aon representatives to discuss certain contract terms and to provide the Board with more information about the potential process and costs of having the Association license directly with catastrophe modeling providers at a future meeting.