The theory is that more stringent building codes reduce property damage during major storms and other catastrophes, and therefore drive down insurance premiums. A recent study by the Texas Windstorm Insurance Association (TWIA) indicates that building codes, when enforced, have an impact on property damage (see here and here). The study reviewed 9,835 residential claims in the aftermath of hurricane Rita and showed:
- there were far fewer claims reported for dwellings built to the new codes
- the average paid loss per dwelling was 40-50 % less
Maybe Florida should take a look at this:
The 70th Texas Legislature enacted legislation that says that all new construction, repairs and/or additions that commenced on or after Jan. 1, 1998, shall be inspected or approved by the Texas Department of Insurance for compliance with the building code specifications in the TWIA Plan of Operation. Participation in this program is not mandatory, however, property that has not been inspected and certified in accordance with the requirements of this inspection program will not be eligible for windstorm insurance through TWIA.