Governor Abbott directs TDI to lower property insurance costs

Press Release

Governor Greg Abbott today directed the Texas Department of Insurance (TDI) to take several actions that put consumers first and make property and casualty insurance more affordable for Texans who invest in their homes.

"The average annual homeowners' insurance premium in Texas has risen 79 percent in six years," said Governor Abbott. "High insurance costs hit Texas families hard. Today I direct the Texas Department of Insurance to put consumers first and take action that makes property and casualty insurance more affordable."

Actions directed for the Texas Department of Insurance

Governor Abbott directed TDI to:

Require insurers to include a home's FORTIFIED roof status in their rate setting calculation to reduce the cost of insurance premiums.Prohibit insurers from refusing to write or renew residential property insurance policies based on the age of the property, including individual components such as the age of the roof.Issue a bulletin for all TDI-regulated products that bans the practice of "price optimization," whereby insurers use personal data unrelated to insured risk to set prices.Create an Insurance Fraud Task Force to clamp down on insurance fraud, which harms all consumers by making insurance more expensive.Conduct a study on the impact of excessive, unnecessary, and inflated claims costs on the Texas commercial auto, personal auto, and homeowner insurance markets.

TDI shall also identify additional administrative actions that can be taken immediately and any statutory changes needed to protect consumers and make insurance products more affordable. These recommendations are due to the Office of the Governor by Monday, September 14, 2026.

Governor Abbott will work with the Legislature next session to further enhance consumer protections for insurance policyholders and curb premium increases.