Good afternoon!
For the latest updates from ICT in the insurance industry, follow us on LinkedIn and make sure to enable notifications 🔔
For more Texas-related P&C insurance information and news, visit the ICT website
|
TDI Holds First Insurance Fraud Task Force Meeting
|
TDI held the first meeting of its new Insurance Fraud Task Force on Oct. 19. The task force was established in response to Gov. Greg Abbott’s August directives on insurance affordability and consumer protection. ICT participated in the meeting, which brought together about 50 representatives from the insurance industry, trade groups, law enforcement and other stakeholders.
Insurance Commissioner Amanda Crawford opened the meeting by outlining the task force’s mission to coordinate efforts to combat insurance fraud, identify emerging fraud schemes, develop anti-fraud guidance for consumers following disasters and improve public awareness. Associate Commissioner and TDI Fraud Unit Chief Investigator Chris Davis then provided an overview of the agency’s fraud investigation activities and led a discussion of fraud-related issues.
The discussion included TDI’s Legislative Appropriations Request, in which the agency is seeking additional resources for fraud investigations and enforcement, including funding for 23 positions dedicated to insurance fraud and administrative enforcement.
In response to questions raised during the meeting, TDI noted that fraud referrals have exceeded 20,000 annually in recent years, while 635 cases are currently pending with state or federal prosecutors. TDI also confirmed that it has the authority to investigate insurers for potentially fraudulent claims practices.
TDI indicated that another task force meeting is anticipated in early 2027, although no date has been announced. ICT will remain engaged in the task force’s work and continue monitoring fraud-related issues ahead of the 90th Legislature.
|
TDI Hosts Quarterly Connect Webinar
|
The Texas Department of Insurance held its quarterly TDI Connect webinar Oct. 21, providing updates on agency priorities, rulemaking, consumer protection and other regulatory activities ahead of the 2027 legislative session. Insurance Commissioner Amanda Crawford emphasized insurance affordability, consumer understanding of coverage and efforts to reduce losses through mitigation and fraud prevention.
TDI provided updates on several pending rulemaking efforts, including the SB 458 appraisal rules, which are nearing finalization, and HB 2067 reporting requirements for commercial lines, with an adoption order expected in the coming months. TDI also noted that updated Consumer Bills of Rights for personal auto and residential property insurance will take effect Jan. 1, 2027.
Crawford highlighted efforts to encourage resilient roofing, including FORTIFIED construction, and discussed Abbott’s proposed $400 million mitigation grant program.
TDI also provided updates on several upcoming reports, including the final HB 19 commercial auto study, expected by Dec. 1, and a study of incentives to increase insurer participation in the coastal market, expected before the end of the year. The department also noted that it is preparing legislative recommendations for the 90th Legislature.
TDI will host a Meet the Regulator Open House on Dec. 14 in Austin, providing stakeholders an opportunity to meet with agency leadership and discuss regulatory and legislative priorities.
|
Texas' effort to increase insurance transparency through data portal
|
A Texas Department of Insurance portal provides information about why insurers decline applications, cancel policies or choose not to renew coverage. Insurance Council of Texas spokesperson Rich Johnson emphasized that cancellations often reflect consumers’ decisions and that the reported actions represent a small percentage of overall policies. Johnson also questioned the benefit of identifying individual insurers, noting that the industry already operates under state oversight.
Key Points
- ICT’s central message: Johnson said consumer choice accounts for the vast majority of cancellations.
- Data supports that context: Policyholder requests led the reported home insurance cancellation reasons at 122,059, followed by nonpayment at more than 117,000.
- Reporting requirements: House Bill 2067 requires insurers to explain certain coverage decisions and report their reasons to TDI.
- Company confidentiality: State law prohibits the portal from identifying individual insurers.
- Competing perspectives: Texas Watch wants insurers identified, while ICT emphasized existing regulation and the importance of interpreting the figures in context.
|
ICT Q4 All Member Meeting
|
Join us on Nov.11 at 11am for the quarterly updates from ICT. Your inside look at the key legislative, legal, media, and member issues shaping the Texas insurance industry.
Hear the latest on ICT’s legislative priorities and interim charges, including lawsuit abuse, tort reform, resiliency, and our work with industry partners. We’ll also cover media trends, current issues reporters are following, and how ICT is helping elevate the industry’s voice.
Plus, get member services updates, learn about new ICT members, and hear what’s ahead for upcoming events.
Don’t miss this opportunity to stay informed, connect with ICT, and engage on the issues that matter most to our industry.
Register Today!
|
|
Nine-month catastrophe losses fall amid quiet hurricane season
|
Global insured natural catastrophe losses reached approximately $92 billion during the first nine months of 2026, according to Gallagher Re. That was 29% below the 10-year average and the lowest total for that period since 2019. The results reflected fewer exceptionally costly events, even as the number of significant disasters remained near historical averages.
Key points
- Below-average insured losses: The $92 billion total compares with a 10-year average of $128 billion.
- Lower economic losses: Total economic losses, including uninsured damage, reached $242 billion, about 33% below average.
- Extended break from major losses: Six consecutive quarters passed without an individual catastrophe causing more than $10 billion in insured losses.
- Thunderstorms remain costly: Severe convective storms accounted for approximately 60% of insured catastrophe losses.
- Reporting cutoff matters: Hurricane Isaias occurred in October and is excluded from the nine-month total.
|
|
Home Insurance Tops Property Taxes in Squeeze for US Households
|
Average home insurance premiums now exceed average property tax bills in two-thirds of U.S. counties, according to a Bloomberg Intelligence analysis. The report links rising insurance costs partly to extreme weather and describes mounting pressure on household budgets. Higher deductibles and greater local responsibility for disaster recovery add to those financial challenges.
Key points
- Premium growth: County-level homeowners insurance premiums increased an inflation-adjusted 45% over a decade.
- Broader comparison: Adding the estimated weather-related portion of auto premiums puts insurance costs above property taxes in 75% of counties.
- Regional differences: Insurance can cost 2.5 to four times the property tax bill in Southeastern states, where property taxes are relatively low.
- Weather-related pressure: Hail and winter weather contribute to rising costs across the Midwest and Mountain West.
- Household exposure: Rising deductibles leave homeowners responsible for more recovery expenses before insurance payments begin.
|
Hurricane Isaias exposed the limits of a quiet season for insurers
|
Hurricane Isaias illustrates how one storm can generate billions of dollars in insured losses during an otherwise quiet Atlantic season. The article describes how rapid intensification can create significant risk despite low overall tropical activity. It also warns that declining reinsurance prices could leave insurers with less room to absorb future losses.
Key points
- Low seasonal activity: Accumulated cyclone energy stood at 18 through Oct. 14, compared with a full-season average of 123.
- Rapid strengthening: Isaias’ sustained winds increased by 40 mph in 24 hours before it weakened ahead of landfall.
- Substantial loss estimates: Estimates ranged from $1 billion to $4.5 billion across catastrophe modeling firms.
- Declining reinsurance prices: Property catastrophe reinsurance rates fell 16% at July renewals, according to figures cited in the article.
- Underlying profitability concerns: Lloyd’s improved overall results benefited from fewer major claims, while its underlying combined ratio deteriorated.
|
Texas Windstorm Insurance Association seeks dismissal of lawsuit alleging Hurricane Beryl claims were underpaid
|
The Texas Windstorm Insurance Association and other defendants have asked a federal court to dismiss a lawsuit alleging Hurricane Beryl claims were deliberately underpaid. Three Galveston County homeowners allege damage estimates were secretly altered, reducing their combined claims by approximately $96,000. The defendants argue that the McCarran-Ferguson Act bars the federal racketeering lawsuit.
Key points
- Homeowners’ allegations: The plaintiffs accuse TWIA personnel and claims representatives of conspiring to reduce field adjuster estimates.
- Disputed amount: The alleged reductions total approximately $96,000 across three homes.
- Federal case: The lawsuit was filed in August in the Galveston Division of the U.S. District Court for the Southern District of Texas.
- Dismissal argument: The defendants contend that the McCarran-Ferguson Act prohibits the case from proceeding under the federal Racketeer Influenced and Corrupt Organizations Act.
- Procedural status: The article reports a request for dismissal, rather than a court ruling resolving the allegations or granting class-action status.
|
Check out all things ICT!
|
Enjoying this newsletter? Feel free to share it with your colleagues! Just a reminder: The ICT News to Know is a benefit exclusive to ICT members and we ask you not share outside your organization.
|
|
