Wind Hail Insurance Market Incentives Study

Prepared by:

Meri Davlasheridze (PI), Samuel Brody (Co-PI) and Wesley Highfield (Co-PI), Jeff Czajkowski (Collaborator)

Prepared for:

Texas Department of Insurance

Publication Date:

November 8, 2022

Texas A&M University of Galveston (TAMUG) was contracted by the Texas Department of Insurance (TDI) to conduct a study of market incentives for writing windstorm and hail insurance in the 14 first tier coastal counties of Texas and parts of Harris County. The study was conducted in accordance with Texas Insurance Code Section 2210.015. Broadly, the study included a voluntary survey of insurers, aggregate analyses of homeowners insurance market performance, and analyses of state residual market mechanisms. Highlights of the study and its results are summarized below