The Texas Department of Insurance has identified a set of actions intended to protect consumers and make property and casualty insurance more affordable for Texans, responding to an August directive from Gov. Greg Abbott, the governor’s office announced in a Sept. 16 news release.
The move targets a household cost that has climbed steeply. The average annual homeowners’ insurance premium in Texas rose 79% in six years, Abbott said in the release. “High insurance costs hit Texas families hard,” the governor said. “I directed TDI to put consumers first, and TDI is taking action to do so. I will work with the Legislature next session to further curb premium increases.”
Abbott’s Aug. 24 directive asked the department to put consumers first, act under existing authority and identify further administrative steps and statutory changes needed to protect policyholders, according to the release.
TDI will enforce Commissioner’s Bulletin #B-0008-26, which directed insurers to account for a home’s FORTIFIED roof status in rate setting so premiums reflect the lower risk, the release said. The department also plans to propose a rule clarifying an existing prohibition on the use of a property’s age, making clear that insurers may not use the age of individual components, such as a roof, as a basis to refuse to write or renew residential coverage.
The department will also enforce Commissioner’s Bulletin #B-0007-26, which states that price optimization already violates Texas law for TDI-regulated products, and will create an Insurance Fraud Task Force open to law enforcement organizations, anti-fraud groups, consumers and other stakeholders. By the end of 2026, TDI is to produce a concise, web-based study of what drives claim costs in the commercial auto, personal auto and homeowner markets, drawn from data the agency already holds, and to seek additional details on claims closed without payment.
Additional steps identified under current law include an analysis of insurer use of artificial intelligence in claims and underwriting, plain-language coverage tools, updates to HelpInsure.com and fewer barriers for new market participants, according to the release.
The governor’s office noted laws signed last session that require notice when a policy is declined or canceled, bar forced bundling of home and auto policies, eliminate the widow penalty and require current credit scores if insurers use them. For the next session, Abbott has put forward a Texas Roof Fortification Program and a measure allowing all auto insurers to rate on driving records. TDI Commissioner Amanda Crawford laid out the department’s response in a letter to the governor, the release said.