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For more Texas-related P&C insurance information and news, visit the ICT website
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 ICT and APCIA File Amicus Brief in
Fifth Circuit RICO AppealÂ
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On April 23, the Insurance Council of Texas (ICT), along with the American Property Casualty Insurance Association (APCIA), filed an amicus brief with the United States Court of Appeals for the Fifth Circuit in support of a petition by Allstate Insurance Company. The case, Allstate v. Bhagat (Civil Action No. 4:24-cv-02573), is on appeal from the U.S. District Court for the Southern District of Texas, Houston Division.
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Allstate brought the case under the federal Racketeer Influenced and Corrupt Organizations (RICO) Act, alleging that certain healthcare providers involved in automobile insurance claims engaged in conduct constituting mail fraud. The district court dismissed the case, ruling that Allstate was required to have relied on the allegedly fraudulent communications to assert a civil RICO claim based on mail fraud.
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The appeal presents two central legal questions: (1) whether reliance is a necessary element of a civil RICO claim predicated on mail fraud, and (2) whether an insurer’s negotiation, settlement, and payment of claims defeats the proximate cause requirement under RICO. Some recent court decisions have concluded that reliance is not a necessary component in this context, but the district court found otherwise.
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The Fifth Circuit appeal is currently pending. ICT will continue to monitor the case and provide updates as developments occur.
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To read the full filing, visit:Â In the United States Court of Appeals for the Fifth Circuit
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 ICT Comments on FAIR Plan Property Owners Association Proposed PetitionsÂ
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On June 6, 2025, the Insurance Council of Texas (ICT) submitted written comments to the Texas Department of Insurance (TDI) opposing five petitions seeking to designate areas in Harris County near Clear Lake as underserved for property owners’ association insurance under the Texas FAIR Plan. The petitions, filed in late 2024 and early 2025, propose a significant expansion of FAIR Plan coverage to include non-residential properties.
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ICT’s comments emphasized that the petitions do not meet regulatory requirements under 28 Texas Administrative Code §5.9931. Specifically, none of the petitions demonstrate that a substantial number of insurable risks have been declined by the voluntary market, and all incorrectly cite affordability as a justification, which is not recognized as a valid statutory criterion. ICT recommended that any consideration of new designations be addressed through formal rulemaking to ensure transparency and stakeholder engagement.
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TDI held a public hearing on June 6, during which Jay Thompson testified on behalf of ICT. The department has extended the written comment deadline to June 20, 2025.
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 TAIPA Submits Updated Auto Insurance Rate Filing Â
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On April 21, 2025, the Texas Automobile Insurance Plan Association (TAIPA) submitted a filing proposing revisions to private passenger and commercial auto insurance rates, with an effective date of October 1, 2025. Amended filings were submitted on April 24 and June 5, 2025, in response to feedback from the Texas Department of Insurance (TDI).
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Key changes include a revised proposal for Personal Injury Protection (PIP) coverage, now reflecting an overall decrease of 5%, compared to no change in the original filing.
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Proposed Rate Overview:
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An overall proposed average rate increase of 3.9% for private passenger auto insurance.
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Rate changes driven by base rate adjustments by territory; class and territorial factors remain unchanged.
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Average territorial base rate changes capped at a maximum increase of 5.0% per coverage.
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Rate indications are based on data from the 2023 TAIPA Private Passenger Auto Data Call, using earned premium figures through June 30, 2024.
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The filing does not trigger a hearing under Insurance Code § 2151.2041, as no individual coverage change exceeds 5%.
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TAIPA and TDI have agreed to extend the review period to allow for continued evaluation.
For more details, read the filing here.
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Join us in Austin for the 2025 ICT Property & Casualty Insurance Symposium
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 September 17–18, 2025 | Renaissance Austin Hotel
Texas’ P&C insurance market is changing fast—this is your chance to stay ahead. Don’t miss two packed days of insight, networking, and expert analysis.
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Highlights include:
🔹 2025 Legislative Recap – What passed, what changed, and how it affects you
🔹 State of the Market – Trends, shifts, and what’s next for P&C
🔹 Wildfire Risk in Texas – Are we headed down California’s path?
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2025 ICT Workers' Compensation Conference
September 15-16, 2025Â |Â Renaissance Austin Hotel
Join us for two dynamic days of insight and innovation as we dive into the future of workers’ comp in Texas.
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Highlights include:
🔹Regulatory Recap – What the latest Texas legislation means for WC
🔹 Total Worker Health – Building safer, healthier, more resilient teams
🔹 Telemedicine Trends – What's next for care delivery in WC
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Join Us for the ICT All Member CallÂ
June 26 at 11 AM CT
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Don’t miss this opportunity to stay informed and connected! ICT members are invited to join our upcoming All Member Call on Wednesday, June 26 at 11:00 a.m. Central Time.
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We’ll cover:
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A recap of the 89th Legislative Session
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Key regulatory and legal updates
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Communications and media efforts supporting the industry
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Member services and a look ahead at upcoming events
Stay engaged, stay informed — register today!
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 ICT in the News:Â
Insurance claim denials on the rise in Texas
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A recent article in The Courier of Montgomery County highlights that 47% of Texas homeowner insurance claims were closed without payment in 2023, according to Weiss Ratings. This marks a steady increase from prior years and exceeds the national average. Rich Johnson, Director of Communications and Public Affairs for the Insurance Council of Texas (ICT), noted that rising deductibles may be contributing to the trend.
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Key points:
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Claims Closed Without Payment Are Increasing: Weiss Ratings found that 47% of Texas homeowner claims in 2023 were closed without payment—up significantly from previous years and above the national average.
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Higher Deductibles and Coverage Limits Contribute: Insurers have raised minimum deductibles and excluded certain perils (e.g., wind and hail), making it more likely that repair costs fall below the deductible threshold.
- Consumer Advocacy Concerns: Groups such as the American Policyholder Association and Texas Watch argue that claim denials and reduced payouts are limiting meaningful coverage for homeowners.
- Industry and Regulatory Response:Â Rich Johnson of the Insurance Council of Texas (ICT) explained that rising deductibles are a key factor contributing to the increase in claims closed without payment. Additionally, the Texas Department of Insurance (TDI) has acknowledged this trend and encourages consumers to file complaints if they believe their claims have been unfairly denied.
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Ongoing Policy Debate: Although lawmakers have prioritized insurance affordability, key reforms did not pass in 2025. Questions remain about balancing consumer protections and insurer solvency amid rising weather-related losses
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 ICT in the News:Â
Call KENS: Woman relieved after Geico clears up insurance issue
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In June 2025, a total loss auto claim involving a Spring Branch policyholder drew public attention due to a delay in resolving storage fees. A disagreement between the insurer and a repair facility contributed to the delay. After the situation was brought to wider attention, the matter was resolved. The Insurance Council of Texas (ICT) provided clarification on applicable coverage and recommended best practices for efficient claims resolution.
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Key points:
- Maintain Clear Claims Communication: Clear explanation of payments, responsibilities, and procedures helps avoid confusion and ensures policyholders remain informed.
- Address Storage Fee Issues Promptly: Delays in resolving storage charges can lead to additional costs and slower claim completion. Early intervention is beneficial.
- Use Direct Payment Methods When Possible: Paying vendors directly can reduce administrative complexity and minimize the risk of miscommunication.
- Review Coverage Terms with Policyholders: ICT notes that collision and comprehensive coverage may include reasonable storage fees, while liability coverage typically does not.
- Establish Internal Escalation Protocols: Structured escalation procedures can support timely resolution of complex or stalled claims.
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 Industry News:Â
Texas Home Insurance Warning Issued
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Recent reports indicate that Texas faces increasing challenges in the home insurance market due to its exposure to multiple severe weather events, including hailstorms, wildfires, hurricanes, and flooding. These risks, combined with rising rebuilding costs, elevated reinsurance expenses, and shrinking market availability, have contributed to substantial premium increases and affordability concerns.Â
Key points:
- Multi-Peril Risk Exposure:Â Texas is subject to a diverse array of severe weather hazards requiring comprehensive underwriting and risk assessment strategies.
- Rising Premiums and Market Constraints:Â Significant premium hikes and insurer withdrawals highlight the need for clear client communication regarding affordability and coverage options.
- Importance of Flood Insurance Awareness:Â Due to waiting periods and increasing flood risks, early promotion of National Flood Insurance Program (NFIP) policies is critical.
- Impact of Increasing Reconstruction and Reinsurance Costs:Â Rising labor, material, and reinsurance costs are key drivers of increased claims expenses and premium rates.
- Emphasis on Preparedness and Policy Review:Â Regular policy evaluations and client education about coverage limits, deductibles, and supplemental wind/hail insurance are essential to minimize gaps.
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Check out all things ICT!
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The Insurance Council of Texas (ICT) is on the lookout for knowledgeable and engaging speakers for our 2025 events! We are looking for experts to discuss industry trends at our upcoming gatherings, including:
- Quarterly ICT Webinar Series
- Workers' Comp Conference:Â September 15-16, 2025
- P&C Insurance Symposium:Â September 17-18, 2025, in Austin, TX
We’re seeking speakers to cover critical industry trends, topics such as:
- Emerging topics and innovations
- Legal developments affecting insurance
- AI and technology: challenges and opportunities
- Resiliency strategies for businesses and communities
- Insights on the future of the insurance industry
If you have suggested topics, would like to request a speaker or would like to present at one of ICT's events, click here to let us know.
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