Windstorm insurance
Coverage · Cloudbreak team · Updated October 29, 2026 · 17 sources
Definition
Windstorm insurance pays for damage from wind or hail, whether from a tornado, a thunderstorm or a hurricane; some people call it hurricane insurance. It can be part of a regular property policy or, where that policy excludes wind, a separate wind-only policy.
How it works
Windstorm and hail are covered causes of loss on most commercial property policies. Inland, wind coverage usually comes with the policy. On hurricane coasts, insurers often remove it, and the owner has to buy wind coverage on its own.
A commercial policy removes the peril by endorsement. ISO's Windstorm or Hail Exclusion (CP 10 54, June 2007 edition) excludes windstorm and hail at the scheduled locations, plus rain, snow, sand or dust damage that would not have happened but for the windstorm or hail.1
Where private insurers will not write wind, several Atlantic and Gulf coast states have created plans that do. These plans sell wind and hail coverage, sometimes with fire, to owners in a set coastal area who cannot find it in the private market. Each plan has its own eligibility rules, limits and deductibles. The Gulf states' plans are listed under State plans below.
A wind-only policy and the main property policy pay separately. Each has its own limit and deductible, so one storm can bring two claims: wind damage under the wind policy and other covered damage under the main policy.
Example
Example on a Texas coastal building: TWIA's maximum limit for commercial structures and their contents stays at $4,424,000 for policies issued or renewed on or after January 1, 2027. TWIA commercial deductibles are 1%, 2% or 5% per item, per occurrence, on each item's amount of insurance, with a $1,000 minimum.2,3
Example inputs: a coastal Texas apartment building insured with TWIA for $4,424,000, a 2% deductible and a $300,000 windstorm loss, with no coinsurance reduction (TWIA may waive coinsurance when value exceeds its maximum limit).2,3
| Amount | |
|---|---|
| Amount of insurance | $4,424,000 |
| 2% deductible | $88,480 |
| Windstorm loss | $300,000 |
| TWIA pays | $211,520 |
- TWIA pays$211,520
- Deductible$88,480
- Total$300,000
Where you'll see it
- Private policies: the CP 10 54 schedule lists the premises and building numbers where windstorm or hail is excluded.1
- State plan policies: wind-only declarations from the coastal plan. In Texas, TWIA writes residential and commercial policies (buildings, business personal property, townhouses, condominiums) and covers items such as signs, fences and pools.4
- Building certificates: some plans require proof the building meets code. In Texas, TDI's WPI-8 and WPI-8-E and TWIA's WPI-8-C certify that a coastal building met building codes.4
State plans
| State | Plan | Area | Wind coverage |
|---|---|---|---|
| Texas | TWIA (Insurance Code Chapter 2210) | 14 first-tier coastal counties and parts of Harris County east of Highway 146 | Windstorm and hail policies for commercial buildings, business personal property, condominiums and townhouses |
| Florida | Citizens Property Insurance Corporation, a state government entity | Areas eligible for Florida Windstorm Underwriting Association coverage as those areas were defined on January 1, 2002 | Wind-only Commercial Residential (CR-W) and Commercial Nonresidential (CNR-W) policies |
| Louisiana | Louisiana Citizens (Coastal Plan and FAIR Plan) | Coastal Plan: coastal area set in the plan of operation; FAIR Plan: the state | Windstorm and hail without fire for dwellings and commercial properties, on a monoline basis |
| Alabama | Alabama Insurance Underwriting Association (AIUA) | South of the 31st parallel in Baldwin and Mobile counties | Actual cash value commercial wind-only policy, up to $1,000,000 per building and $3,000,000 per insured location |
| Mississippi | Mississippi Windstorm Underwriting Association (the windpool) | Hancock, Harrison, Jackson, Pearl River, Stone and George counties | Windstorm and hail on insurable real property and contents, at actual cash value or replacement cost |
Texas: Texas law does not require windstorm insurance, but TDI says a lender near the coast will likely require it for a mortgaged property. TDI also says a business on the Texas coast or in Harris County on Galveston Bay probably has no wind and hail coverage in its policy, and TWIA offers it.13,14
Texas: to be eligible for a TWIA policy, property must be in the area designated by the Commissioner of Insurance, the applicant must have been denied coverage by at least one authorized insurer actively writing or renewing windstorm and hail coverage there, and, with limited exceptions, the property must be certified by TDI or TWIA as built to applicable building codes.4,13
Florida: Citizens says its wind-only policies cover only hail and windstorm damage, such as from hurricanes and tropical storms, for owners who cannot find private coverage and meet its eligibility rules.6
Louisiana: an owner denied by one or more authorized insurers may apply to the Coastal Plan or the FAIR Plan. Policies run up to one year and renew annually while the property stays insurable.15
Louisiana: state law sets how a commercial named storm or hurricane deductible repeats. For commercial policies from authorized insurers issued on or after January 1, 2023, with total insured value under $20 million, it applies on an annual basis to all named storm or hurricane losses in the calendar year. On example inputs of a $100,000 deductible, a first storm loss of $60,000 and a $25,000 all other perils deductible, the insurer may apply a $40,000 deductible to the second storm: the larger of what remains and the other deductible.16
Alabama: AIUA provides wind, hail and hurricane coverage, and in limited cases fire coverage, on eligible property south of the 31st parallel in Baldwin and Mobile counties for owners who do not qualify for coverage in the standard market. Its commercial wind-only policies carry one deductible for wind other than hurricanes and a percentage deductible for hurricanes.17,10
Mississippi: the Insurance Department says that when a policy excludes windstorm, the windpool offers it.12
Questions
- Does commercial property insurance cover wind damage?
- Usually, as a covered cause of loss. A policy can remove it by endorsement, such as ISO's Windstorm or Hail Exclusion, which takes out windstorm and hail at the locations it lists.1
- Is windstorm insurance required in Texas?
- Not by law. TDI says a lender near the coast will likely require it.13
- Who can get a TWIA policy?
- In Texas, a property in TWIA's coastal service area, turned down by at least one authorized insurer, with a windstorm certificate of compliance (with limited exceptions) and in insurable condition.4
- Can you buy windstorm insurance when a hurricane is coming?
- Usually not. TDI says TWIA will not sell a policy while a hurricane is in the Gulf of Mexico. In Alabama, AIUA will not issue a policy while a named storm is within 80 degrees W longitude and 20 degrees N latitude or a tropical storm watch or warning covers Baldwin or Mobile County. Mississippi's Insurance Department says most insurers will not accept new applications after a designated hurricane enters the Gulf.13,14,17,12
Cloudbreak
Cloudbreak is the owner-side property protection team for commercial and multifamily owners. Our policy review reads your property policy against your buildings and values, and a licensed insurance broker approves every report. Policy reviews are free for any owner.
Sources
Written by the Cloudbreak team. Numbers, dates and rules cite the published sources below.
- 1. Insurance Services Office (ISO) form text: Windstorm or Hail Exclusion, CP 10 54 06 07
- 2. Texas Department of Insurance: Commissioner's Order No. 2026-10171: TWIA Policy Maximum Liability Limits (October 1, 2026)
- 3. Texas Windstorm Insurance Association: TWIA Rating Rules (effective February 13, 2024)
- 4. Texas Windstorm Insurance Association: Coverage and Eligibility
- 5. Texas Department of Insurance: Texas Windstorm Insurance Association Overview (October 1, 2026)
- 6. Citizens Property Insurance Corporation: Commercial Policies
- 7. Florida Legislature: Fla. Stat. 627.351(6), Citizens Property Insurance Corporation (2026 Florida Statutes)
- 8. Louisiana State Legislature: La. R.S. 22:2292, Definitions
- 9. Code of Alabama (via Justia): Code of Alabama Section 27-1-24, Alabama Insurance Underwriting Association (2025)
- 10. Alabama Insurance Underwriting Association: Frequently Asked Questions
- 11. Mississippi Code (via Justia): Mississippi Code Section 83-34-1, Definitions (2025)
- 12. Mississippi Insurance Department: Consumer Hurricane Checklist
- 13. Texas Department of Insurance: What is windstorm insurance?
- 14. Texas Department of Insurance: Commercial property insurance guide (last updated December 9, 2025)
- 15. Louisiana State Legislature: La. R.S. 22:2302, Eligibility; application
- 16. Louisiana State Legislature: La. R.S. 22:1267.1, Commercial insurance deductibles applied to named storm, hurricane, and wind and hail deductibles
- 17. Alabama Insurance Underwriting Association: AIUA Rules and Procedures for Submitting Applications (11-25)