Andy Hogue – Travis County Rep. Party Communications Director Joins Houston Morning News, July 29th, 2024

Episode Transcript

Speaker 1 (00:01):
H T two.

Speaker 2 (00:02):
It's US Radio seven kgrh on FM, Houston's news, weather, traffic,
and talk at ninety nine one h T two. Okay
sixty two Now. A survey of one hundred insurance companies
found that Houstonians are paying an average of forty four
hundred dollars a year to insure their homes against wind, rain,
wind rain, and hail. That's about twice the national average,

(00:24):
and it's about to go up because of Beryl. Joining
us now to discuss is Albert Betts, Executive director of
the Insurance Council of Texas. Good morning, Albert, good morning.
What kind of numbers are Houston homeowners looking at now.

Speaker 1 (00:39):
In terms of rates? We don't know yet. Barrel just happened,
and I think at this point it's way too early
to project, you know, what will rates look like going forward. Obviously,
it's been a rough year for Houston. I feel for
y'all in between Derecho rolling through a few weeks ago
and now Beryl. Obviously, companies will be looking at those
losses projecting what happens in the future, but no single

(01:03):
event means the next day companies are raising rates. I
think it's going to be a long term look at
companies about what they do in the Houston market and hopefully,
fingers crossed, we don't have any other large severe events
happen in the Houston area.

Speaker 3 (01:17):
You know, when rain and hail, it got separated out
homeowner's insurance, I mean is typically for fire and flood.
Flood had to be separated out. I mean it's getting
to the point where you have to ensure your home
for all these different specific events and each one. Maybe
it only sounds like, well do you average forty four hundred,

(01:39):
Well yeah, but that's on top of your fire coverage.
I mean, it goes on and on and on. It
never stops.

Speaker 1 (01:47):
Well, actually, most policies, homeowner policies, cover all of those perils.
What you may be thinking about is along the Texas coast,
or's fourteen counties, there's an entity called the Texas Windstorm
Insurance Association that provides wind coverage in fourteen counties. That's
set by law that was actually created over fifty years
ago as companies rolled back after a large storm, rolled

(02:11):
back and riding wind coverage on the coast. So there
are coastal counties where you do have to buy a
separate wind policy in some areas, but generally across the state,
companies provide the wind, the hell, the fire coverage.

Speaker 3 (02:25):
Yeah, certainly the greater Houston area however, and that's where
we're talking today.

Speaker 1 (02:30):
Yeah, there are portions of Houston that fit within the TUIYA,
the Texas Windstorm and Insurance Association Plan, and those folks affected. Finally,
I think it's the eastern portion of Harris County have
to buy a separate wind coverage.

Speaker 2 (02:43):
Why is it that, you know, Houston is so impacted
by this more than other spots in the hurricane zones
I mean, Gulf side, Atlantic side. There are a lot
of places that have a lot of those kinds of
that kind of damage and a lot of threats. Why
Houston in particular, this part of the region.

Speaker 1 (02:58):
Well, one reason maybe just the factor Texas face has
so many weather risk Think about those coastal areas along
the Atlantic coast, they may get a hurricane, But in Houston,
I mean you know this, y'all get pail you get tornadoes,
you get hurricanes, you get floods. It's just the geography
of Texas. We're in the line for almost every single

(03:19):
major peril, and it's something that drives Texas insurance rates.

Speaker 2 (03:25):
It does, drives them through the roof, unfortunately for the
homeowners there. Albert Betts, Executive director, Insurance director of the
Insurance Council of Texas, analyzing the rates and what's happening
because of hurricanes and more. Albert, thanks so much for
the analysis. We appreciate it.

Speaker 1 (03:41):
Thank youl. Have a good day.