P&CTexasmedium
An admitted homeowner's insurer declines to write windstorm coverage on a property in Galveston County. The homeowner then seeks coverage through TWIA. Which of the following is a condition for TWIA eligibility?
AThe property must be located anywhere in Texas, because TWIA is a statewide insurer of last resort
BThe property must first be declined by TPCIGA before TWIA coverage is available
It must be in the catastrophe area (14 coastal counties, parts of Harris County)
DThe insured must demonstrate that the property is in a FEMA Special Flood Hazard Area
Why this is the answer
TWIA provides windstorm and hail coverage in the catastrophe area designated under TIC §2210.005 — 14 first-tier coastal counties (Aransas, Brazoria, Calhoun, Cameron, Chambers, Galveston, Jefferson, Kenedy, Kleberg, Matagorda, Nueces, Refugio, San Patricio, and Willacy) plus eligible areas of Harris County. TWIA is not statewide; properties outside the designated area are ineligible. TPCIGA (§462) is a separate guaranty mechanism and not a prerequisite for TWIA eligibility. FEMA flood zone status is relevant to NFIP eligibility, not TWIA.
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