Texas windstorm insurance (TWIA) for commercial property
Short answer
The Texas Windstorm Insurance Association (TWIA) is the Texas coast's insurer of last resort for wind and hail. It sells wind and hail policies in 14 coastal counties to applicants an authorized insurer has turned down.1 Texas law doesn't require windstorm insurance, but TDI says a commercial property policy on the Texas coast probably doesn't cover wind and hail, and its homeowner guide says coastal mortgage lenders will likely require it.2,3 TWIA also requires a windstorm certificate of compliance (WPI-8, WPI-8-E or WPI-8-C), with limited exceptions, for construction, additions and structural repairs or alterations started on or after January 1, 1988.1,4
Cloudbreak team · Updated October 28, 2026 · 6 min read · 19 sources
What TWIA covers and where
TWIA is a residual market insurer, not a state agency. Its policies cover wind and hail only, so a building insured through TWIA still needs a regular property policy for other causes of loss, and flood insurance for flood. The TWIA commercial policy excludes flood even when hurricane winds and rain caused it.5,6
TWIA covers the 14 first-tier coastal counties (Aransas, Brazoria, Calhoun, Cameron, Chambers, Galveston, Jefferson, Kenedy, Kleberg, Matagorda, Nueces, Refugio, San Patricio and Willacy) and, inside city limits east of Highway 146, the Harris County cities of La Porte, Morgan's Point, Pasadena, Seabrook and Shore Acres.5
Apartment owners write on TWIA's commercial side: its manual treats apartment and association townhouse buildings of three or more units, and residential condominium buildings, as commercial risks.4
TWIA is not the only option on the coast. House Bill 1940, passed by the 86th Texas Legislature, lets eligible surplus lines insurers write windstorm and hail insurance regardless of TWIA availability.7
Who is eligible
TWIA's requirements, from Texas Insurance Code chapter 2210:1
- The property is in the designated catastrophe area.1
- At least one authorized insurer writing or renewing wind and hail coverage in that area has denied the applicant.1
- The building is certified to applicable building codes, with limited exceptions.1
- Buildings in flood zones V, VE or V1-30 built, altered, remodeled or enlarged on or after September 1, 2009 show proof of flood insurance when NFIP coverage is available.1
- The building is in good repair, with no unrepaired damage or hazardous conditions.1
The declination. One is needed for new coverage and again every three calendar years at renewal. It must come from an insurer authorized in Texas that writes wind and hail in the first-tier counties; surplus lines insurers don't count. It is either a refusal to cover wind and hail or an offer not substantially equivalent to TWIA's, such as only a higher deductible or no replacement cost. A wind and hail exclusion on another policy, or a lower TWIA premium, doesn't qualify.8
Renewals. Under TWIA's manual revised February 27, 2026, the agent must start each commercial renewal, and every three years the agent or policyholder must provide evidence of the declination and any required flood insurance before TWIA generates a renewal offer.4
Flood insurance amount. Where it is required, it must equal at least the smaller of 90% of the TWIA amount of insurance (90% of actual cash value if NFIP replacement cost isn't available) and the NFIP maximum.9
Timing. TWIA issues no new policies or coverage increases while a storm the National Weather Service or National Hurricane Center has designated a hurricane is in the Gulf or inside 80 degrees west longitude and 20 degrees north latitude, so new coverage or an increase must be bound before a hurricane gets that close.10
WPI-8, WPI-8-E and WPI-8-C certificates
A WPI-8 is TDI's certificate that a property, repair or addition on the Texas coast meets building code requirements. A commercial structure insured through TWIA must at minimum meet TDI's adopted standards, which moved to the 2024 IRC and IBC on April 1, 2026.7,11,12
| Certificate | Issued by | Covers | Inspection |
|---|---|---|---|
| WPI-8 | TDI | New and ongoing work | TDI inspector or appointed engineer, during construction |
| WPI-8-E | TDI, since June 1, 2020 | Completed work | Texas licensed professional engineer, after construction |
| WPI-8-C | TWIA, applications January 1, 2017 to May 31, 2020 | Completed work | No longer issued |
TWIA requires a certificate for original construction, additions, structural repairs and structural alterations started on or after January 1, 1988; structures built before then don't need a WPI-8. The Insurance Code's two exceptions for uncertified buildings cover residential properties only.13,4,7
| Needs a certificate | Does not |
|---|---|
| New structures and additions | Roof repairs under 100 square feet that don't involve decking |
| Windows, entry doors and garage doors | Painting, carpeting and other non-structural items |
| A new roof or repair of a significant portion of a roof | Plumbing and electrical repairs |
| Re-siding a significant portion of an exterior wall | Fences, gutters, window glass, and temporary repairs after a storm |
Plan the inspection before work starts. The owner or builder files Form WPI-1 with TDI first. TDI inspectors inspect only work in progress, charge no fee and try to come within 48 hours of the requested date, excluding weekends and holidays. Finished work that was never inspected needs an engineer's post-construction inspection, which TDI says may cost more.14,11
Commercial limits, deductibles and options
| Item | TWIA rule |
|---|---|
| Maximum limit per building, including the owner's business personal property (commercial, apartment, condominium or townhouse) | $4,424,000 |
| Deductible | 1%, 2% or 5% per item, per occurrence; $1,000 minimum |
| Minimum amount of insurance | 80% of actual cash value |
| Coinsurance | 80% or 100% on most commercial rate tables; buildings on tables HC, WR and SWR can also use 50% |
| Loss settlement | Actual cash value; replacement cost with endorsement TWIA-164 |
| Increased cost of construction (TWIA-432) | 5%, 10%, 15% or 25% of the building limit |
| Business income (TWIA-17) | $50 to $1,000 a day for 60 to 365 days, $100,000 maximum, 7-day waiting period, plus up to $10,000 extra expense |
TDI's Order No. 2026-10171 of October 1, 2026 kept the $4,424,000 limit for policies issued or renewed on or after January 1, 2027.17
TWIA-164 adds no premium but, unless the first loss scale is used, requires insurance of at least 80% of replacement cost value at 80% coinsurance rates, or 100% at 100% rates. When a building's value exceeds TWIA's limit, coinsurance can be waived and the premium figured with a first loss scale.16,4
Deductibles are figured on each item's amount of insurance, and the building and its business personal property are separate items. An apartment building insured for $3,000,000 with a 2% deductible has a $60,000 deductible per occurrence. Its business personal property insured for $40,000 at 2% computes to $800, so the $1,000 minimum applies.16,6
Claim time limits
| Step | Deadline |
|---|---|
| File a claim | 1 year after the date the damage occurred |
| Extension | Up to 180 more days, granted by the commissioner of insurance for good cause |
| TWIA may ask in writing for more information | Within 30 days after the claim is filed |
| TWIA's written decision | 60 days after it receives the claim or the requested information, whichever is later |
| Payment | 10 days after TWIA says it will pay |
| Replacement cost payment request, repairs done | 545 days after TWIA's letter accepting the claim |
| Increased cost of construction claim | 2 years after the date of loss |
The extension request is a signed letter to TDI's Chief Clerk. After a loss, the policy requires the insured to protect the property, make reasonable temporary repairs, and keep records of repair costs and proof of deductible payment.5,6
How Cloudbreak helps
Policy review
Your deductibles, limits, exclusions and roof endorsements read against each property, with questions for your broker; a licensed broker approves every report.
Pre-loss documentation
A dated record of every roof section, elevation and rooftop unit, in photos, drone video and notes, with original files and timestamps intact.
Storm monitoring
Our proprietary predictive storm engine, built with AI and backed by meteorologists, watches every building against its own roof-based thresholds; our on-call team picks up urgent matches within 15 minutes, day or night.
Questions
- Do I need TWIA for a commercial building in Corpus Christi?
- Texas law doesn't require windstorm insurance. Corpus Christi, in Nueces County, is inside TWIA's coverage area, where TDI says a commercial property policy probably doesn't cover wind and hail. TWIA sells a policy there only to applicants who meet its rules, including a declination from an authorized insurer and a certificate of compliance.1,2,3,19
- What is a WPI-8 and when is it required?
- A WPI-8 is TDI's certificate that a property, repair or addition on the Texas coast meets building code requirements. TWIA requires one for construction, additions and structural repairs or alterations started on or after January 1, 1988, including roof replacements. Finished work is certified with a WPI-8-E after an engineer's inspection.13,4,15,12
Cloudbreak
The owner-side property protection team for commercial and multifamily owners in storm country: a dated record of every building, nightly storm checks and a review of your policy, before a loss.
Sources
Written by the Cloudbreak team. Numbers, dates and rules cite the published sources below.
- 1. Texas Windstorm Insurance Association: Coverage and Eligibility
- 2. Texas Department of Insurance: Commercial property insurance guide
- 3. Texas Department of Insurance: What is windstorm insurance?
- 4. Texas Windstorm Insurance Association: TWIA Instructions and Guidelines Manual, revised February 27, 2026 (redline filed with TDI)
- 5. Texas Windstorm Insurance Association: Frequently Asked Questions
- 6. Texas Windstorm Insurance Association: TWIA Commercial Policy, Windstorm and Hail
- 7. Texas Department of Insurance: Texas Windstorm Insurance Association Overview (October 1, 2026)
- 8. Texas Windstorm Insurance Association: TWIA Declination Requirements
- 9. Texas Windstorm Insurance Association: Flood Insurance Requirements
- 10. Texas Windstorm Insurance Association: Moratoriums
- 11. Texas Department of Insurance: What is the Windstorm Inspection Process?
- 12. Texas Department of Insurance: WPI-8 fact sheet
- 13. Texas Windstorm Insurance Association: Windstorm Certification
- 14. Texas Department of Insurance: What you need to know about windstorm inspections
- 15. Texas Department of Insurance: Completed construction certificates
- 16. Texas Windstorm Insurance Association: TWIA Rating Rules Manual
- 17. Texas Department of Insurance: Commissioner's Order No. 2026-10171: TWIA Policy Maximum Liability Limits
- 18. Texas Windstorm Insurance Association: Increased Cost of Construction
- 19. Texas State Historical Association, Handbook of Texas: Corpus Christi, TX