Texas Sets HO Rate-Making Hearing

The TDI has set an open meeting for July 17, 1:30 p.m., Room 100, in the TDI office building, Austin, to finalize recommendations revising the homeowners’ and residential property benchmark rates for 2001. The Administrative Law Judge (ALJ) recommends, which reflects the thinking of the Insurance Council of Texas, a six-tenths of a percent reduction on all property lines and 1.3 percent reduction on homeowners. The department is looking for reductions of 2.7 percent on all lines and 3.5 percent on homeowners. Nearly 90 percent of Texas homeowners policies are written by unregulated carriers and are not affected by the benchmark rates. The current fact-finding step by the State Office of Administrative Hearings has been eliminated following passage of HB 2102 which will speed up the rate-setting process by at least six months.