Dear agent,
As we approach the peak of hurricane season, we want to remind you about the policy moratorium process. This message is for informational purposes only. If a policy moratorium becomes likely in the future, we will issue a separate agent bulletin.
A policy moratorium means TWIA temporarily stops issuing policies and increasing coverage. During a policy moratorium, TWIA cannot accept new applications, issue new policies, or increase coverage on existing policies. Only renewals without an increase in coverage can be issued during a policy moratorium. Click here to learn more about policy moratoriums.
A TWIA policy moratorium goes into effect when both of the following conditions are true: (1) The storm is designated as a hurricane by the National Weather Service, AND (2) the storm is within the boundaries of 80 degrees west longitude and 20 degrees north latitude.
A policy moratorium is lifted when the TWIA General Manager determines the storm no longer threatens property anywhere within the TWIA coverage area. A policy moratorium isn’t automatically lifted after a storm makes landfall. From the time a storm enters the Gulf to the time it makes landfall and dissipates, it is possible for a policy moratorium to last a week, or longer.
When a policy moratorium is lifted, TWIA resumes regular policy issuing operations at 12:01 a.m. the next day. This means TWIA will begin accepting applications, issuing new policies, and processing renewals with effective dates of 12:01 a.m. the next day. For example, a policy moratorium lifted on Thursday at 2:00 p.m. would mean TWIA would resume regular policy issuing operations on Friday at 12:01 a.m.
To issue a policy before a policy moratorium goes into effect, TWIA must receive both the application and the payment. The fastest way to submit a payment to TWIA is through the Agent Portal with eCheck or EFT.
If you have questions or concerns, please contact us.
Sincerely,
Texas Windstorm Insurance Association
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