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Statement from TCAIS Director Beaman Floyd From the beginning, insurance companies told legislators that they were not afraid to be regulated. TCAIS encouraged legislators to not ‘just get mad but get it right’ by focusing insurance regulation on protecting consumers and increasing choices. Many lawmakers worked persistently to achieve this balance and we appreciate their efforts. Insurance companies will have to work hard to make Senate Bill 14 work. The new regulations are rigorous, and we are concerned whether this legislation will immediately result in the kind of competitive market that will further stabilize rates and make insurance more available for Texans. SB 14 does provide insurers with the predictability needed to do business in a geographically diverse state. The legislation also contains strong consumer protections. We are hopeful that, if implemented properly, this new regulatory system will continue to aid in the market's recovery. Only time will tell, however, whether the Legislature succeeded in fixing the underlying problem that contributed to the homeowners insurance crisis - a lack of companies willing to risk their capital in Texas -and give Texans more choices. We will continue to work with elected leaders and TDI to ensure that any legislative and regulatory action promotes healthy competition, provides Texans with a greater choice in policy options, and prevents fraud and claims abuse. Quick Guide to Shopping for Insurance Insurance reform needs to focus on attracting more companies to the market so consumers have a variety of products and companies to choose from. As the market stabilizes, consumers will see the benefits when shopping around. Currently, there are a number of web sites dedicated to helping consumers find insurance coverage, including: Click here to download the TCAIS guide to shopping for insurance and a helpful worksheet. We will continue to keep you updated on the progress in the marketplace. About TCAIS: TCAIS member companies include: Allstate Insurance Company, American Insurance Association, Nationwide Insurance, State Farm Insurance Companies and USAA. Click here for more information on TCAIS solutions: seven guidelines for insurance reform in Texas. |
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