Insurance Reform

Insurance Reform

I choose to watch the insurance reform in the Texas legislature during the 78th Texas Legislative session. The main focus in the insurance reform was that of homeowners insurance. There have been sings of major increases in pricing in the market. This is what the government is looking at and figuring out how to please the public buy decreasing the rates, or figuring out what is happening and why their rates are rising.
The homeowners’ insurance reform was proposed in two ways both containing valid information and strong points. One proposal had a major emphasis on “prior approval” meaning that the insurance company had to send a form to the Texas Department of Insurance to get an approval to raise someone’s insurance rates. This would be taken care of by the insurance company sending in a form then waiting 30-60 days for approval, if nothing is sent saying that they are not allowed to raise the rate then after 60 days they are allowed to proceed i...