State Rep. Hunter calls for solutions, not speculation, on windstorm questions
By Rick Spruill
Updated Friday, June 22, 2012
AUSTIN — State Rep. Todd Hunter on Thursday met with state officials in Austin in the wake of questions regarding the accuracy of hurricane damage estimates that came to light earlier this week.
The estimates, disclosed in a letter to state Insurance Commissioner Eleanor Kitzman from state Rep. John Smithee, R-Amarillo, Chairman of the House Insurance Committee, assume about $13 billion in damages should a Category 4 hurricane to strike Corpus Christi, according to models the Texas Windstorm Insurance Association published in response to a request for public information.
Kitzman’s reply to Smithee confirmed the estimates and informed the Chairman that the association currently has access to about $3.6 billion to pay claims.
Hunter, a member of the Windstorm Insurance joint oversight committee, questioned the accuracy of the damage estimates.
“I thought it was prudent and necessary to meet with various individuals to make sure realistic estimates and information are being reviewed,” he said late Thursday.
The Association is the only source of wind and hail insurance for property owners in the 14 counties bordering the Gulf of Mexico, including a portion of Harris County. The policies do not insure against other contingencies such as fire or water damage, which are covered in policies purchased through traditional insurance providers.
Hunter reminded officials to keep the Coastal Bend delegation involved in any discussions that may affect the Coastal counties.
“It just makes sense to involve a coastal legislator when doing this,” he said.
The Texas Windstorm Insurance Association board has voted to raise rates three times within the past two years and rates may climb even higher should they get approval from the Texas Department of Insurance to adjust them based on proximity to the water. A decision is expected in August.
Hunter, who is Chairman of the House Calendars committee and therefore is in a position to steer legislation while the Legislature is in session, said he is concerned that lawmakers from other parts of the state and officials in Austin are creating an atmosphere of negativity that runs contrary to finding solutions.
“We should be positive and constructive,” he said.“Let’s not create panic situations using extreme damage guesstimates but let’s work together to find solutions to the windstorm issue. We shouldn’t focus on something that may not occur but once every 1,000 years but on the realistic, the practical.”
