Bill > HB2517

This bill amends the Texas Insurance Code to exempt the Texas Windstorm Insurance Association (TWIA) and the Texas FAIR Plan Association from premium and maintenance taxes. Specifically, the bill modifies two sections of the Insurance Code to add these two organizations to the list of entities that are not subject to premium taxes (Section 221.001(b)) and maintenance taxes (Section 252.005). The Texas Windstorm Insurance Association is a state-run insurance provider that offers windstorm and hail coverage primarily in coastal areas of Texas, while the Texas FAIR Plan Association provides insurance to property owners who cannot obtain coverage in the standard market. The bill clarifies that these changes do not affect tax liabilities that accrued before the 2023 calendar year, meaning previous tax obligations remain in effect. The legislation will take effect on September 1, 2025, and appears to provide tax relief for these specialized insurance associations by exempting them from certain tax requirements that apply to other insurance entities.

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https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB2517