Which of the following is excluded from TWIA coverage?

Flood damage is excluded from Texas Windstorm Insurance Association (TWIA) coverage because TWIA is specifically designed to provide insurance for windstorm and hail damage for properties in designated coastal areas of Texas. Flood insurance is governed under separate policies, typically provided through the National Flood Insurance Program (NFIP) or private insurers.

Wind damage, fire damage, and theft are all types of risks that could be covered under different types of insurance policies, with wind damage being the primary focus of TWIA. Therefore, while wind damage is indeed covered, flood damage falls outside the scope of TWIA's intended purpose, which is why it is the correct choice in this question.