What you need to know
While the property insurance will mean a decrease of about $220,000 compared to FY 2024-25, the district’s total insured values, or TIV, will increase by about $278 million, bringing the total value of the district’s property to $2.2 billion, according to district agenda documents.
TIV is the total amount of insurance coverage needed to replace or repair all district-owned properties and resources.
The district will use the international insurance firm Arthur J. Gallagher Insurance for FY 2025-26, which was the same firm used in FY 2024-25. The policy will cover windstorm, equipment breakdown and active shooter coverage, according to district documents.
The reduction in cost is due to a 16%, or $0.05, rate decrease in the property insurance rate, leading to a decrease of $0.32 to $0.27 per $100 valuation of TIV, according to district documents.
The district’s TIV is increasing from $1.9 billion to $2.2 billion to align more closely with current market replacement costs and shorten the gap between expiring values and actual exposure, according to district documents.
Diving in deeper
According to AISD documents, some other notable enhancements to the 2025-26 property insurance include:
- Includes flood limits of $5 million for moderate hazard areas and $2.5 million for special flood hazard areas
- Lowered storm deductible from $250,000 to $100,000
- Lowered “all other wind and hail” deductible from 5%, or $250,000, to 3%, or $100,000
- Lowered flood deductible—depending on area—to $100,000
The total premium costs may fluctuate based on changes to the district’s TIV, but the $0.27 rate is firm for the 2025–2026 policy year, according to district documents.
