The Never Ending Review of Homeowners’ Insurance Rates in Texas
The Dallas Morning News—February 21st, 2012
I’ve just gotten around to taking a look at some of Lt. Gov. David Dewhurst’s interim charges for the legislature and this caught by eye –Conduct a broad review of the Texas homeowners insurance market and make recommendations to improve transparency and consumer education, ensure fair practices, and lower rates.
Then the Lt. Gov. lists the following specifics:
o Compare Texas’ homeowners insurance premiums with those of other states and
identify the factors underlying Texas’ premium levels and recommend steps that
the Legislature may take to reduce homeowners’ rates, if appropriate;
o Study strategies that increase awareness of state insurance resources to help
consumers compare rates and coverage among various insurance providers;
o Study the relationship between insurance premiums and construction costs,
especially as associated with recovery from natural disasters, to ensure that
consumers are treated fairly;
o Review the use by insurers, in rating and underwriting decisions, of customer
inquiries regarding the general terms or conditions of, or coverage offered under,
an insurance policy.
I have no problem with any of these subsets, but I think if you asked the guy on the street what is wrong with insurance in Texas, they’ll add two things — high rates and the inability of any insurance commissioner to go toe-to-toe with insurers and win.
Read More: The Dallas Morning News
