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GCC Bay Area Houston Guidry News Gazette
Forum
Texas State Representative Larry Taylor
News Release
Tuesday, May 08, 2012

Statement by Rep. Larry Taylor Regarding Proposed TWIA Rate Increase:

Today, Rep. Larry Taylor sent a letter (see attached) to the Board Members of the Texas Windstorm Insurance Association (TWIA) stating his strong opposition to the proposed rate increase and outlined substantive internal reforms TWIA should undertake.  Letter

“It is imperative the board ask themselves why it is necessary to raise rates again nearly four years after Hurricane Ike with no similar catastrophe since.  I am calling on the board to stop the bleeding and seek the following internal reforms immediately:

  • Curb the number of suits being filed by proactively reviewing Hurricane Ike claims and identify cases that may have been underpaid by TWIA and work to resolve those claims prior to a suit being filed;
  • Thwart frivolous cases filed by trial attorney’s looking to take advantage of hard earned policyholder premium dollars by demanding legitimate adjuster reports and professional engineering analysis for every lawsuit filed;
  • Seek the Office of Attorney General’s attention to address possible issues associated with barratry and other illegal practices potentially conducted by trial attorney’s gaming the system and;
  • Reconsider TWIA defense firms currently retained and implement a fresh approach to mediation practices.

Taylor concluded by saying, “the people of the coast cannot continue to pay for the mistakes made by TWIA management.”




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