Regular Session
Government Affairs & Regulatory Compliance Analysis
HB2517 immediately exempts the Texas Windstorm Insurance Association (TWIA) and the Texas FAIR Plan Association (TFPA) from Chapter 221 premium taxes and Chapter 252 maintenance taxes. While this relieves tax liability for these state-run residual market entities, private insurers must anticipate a corresponding increase in their own maintenance tax rates to offset the revenue shortfall required to fund the Texas Department of Insurance (TDI).
Rep. Jeff Barry·House Bill·Regular Session
Texas Comptroller of Public Accounts • Texas Department of Insurance
This legislation has regulatory implications for the following Texas businesses and organizations:
Notable regulatory updates (effective 2025-06-20). Consider how these changes may affect your operations.
Affected business types:
Affected business types:
lowMinimal cost impact anticipated.
JD Key Consulting provides government affairs and regulatory strategy services. We help businesses navigate Texas agencies, understand legislative impacts, and advocate for their interests.
JD Key Consulting provides strategic guidance on Texas regulatory compliance and legislative impact for your business.
Key implementation requirements and action items for compliance with this legislation
The "Revenue Neutrality" Shift
The legislation removes TWIA/TFPA from the tax base but does not reduce the statutory funding requirement for TDI. The law does not specify the formula for redistributing this cost.
JD Key Consulting specializes in Texas regulatory compliance strategy. Work directly with James Dickey—former Chairman of the Republican Party of Texas—to understand this bill's impact on your operations and develop an actionable compliance plan.
Schedule a ConsultationInformation presented is for general knowledge only and is provided without warranty, express or implied. Consult qualified government affairs professionals and legal counsel before making compliance decisions.
This bill's path through the Texas Legislature
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Common questions about HB2517
HB2517 immediately exempts the Texas Windstorm Insurance Association (TWIA) and the Texas FAIR Plan Association (TFPA) from Chapter 221 premium taxes and Chapter 252 maintenance taxes. While this relieves tax liability for these state-run residual market entities, private insurers must anticipate a corresponding increase in their own maintenance tax rates to offset the revenue shortfall required to fund the Texas Department of Insurance (TDI).
HB2517 was authored by Texas Representative Jeff Barry during the Regular Session.
HB2517 was signed into law by Governor Greg Abbott on June 20, 2025.
HB2517 is enforced by Texas Comptroller of Public Accounts and Texas Department of Insurance.
The regulatory priority for HB2517 is rated as "moderate". Businesses and organizations should review the legislation to understand potential impacts.
The cost impact of HB2517 is estimated as "low". This may vary based on industry and implementation requirements.
HB2517 addresses topics including insurance, insurance--property & casualty, taxation, taxation--general and windstorm devices & insurance.
Key dates for HB2517: Effective date is 2025-06-20. Consult with legal counsel regarding applicability.
HB2517 primarily affects insurance companies and financial institutions, property owners and real estate professionals. These businesses should review the legislation with their legal and compliance teams to understand potential impacts.
JD Key Consulting is an Austin, Texas-based government affairs firm led by James Dickey, former Chairman of the Republican Party of Texas. We specialize in Texas regulatory compliance and legislative strategy for data centers, energy, banking, and manufacturing.
