AUSTIN, Texas (AP) — The Texas House unanimously approved a compromise on a windstorm insurance system overhaul Sunday night, an item that could have forced a special legislative session if it remained unresolved.

The plan must still come up in the Senate before the Legislature adjourns Monday.

The House-Senate compromise relies in part on bonding to replenish the windstorm account to pay for claims after a major hurricane. The state-chartered Texas Windstorm Insurance Association — the only property insurer for residents and businesses in 14 coastal counties — was depleted after last year's Hurricane Ike slammed Galveston and southeast Texas.

Gov. Rick Perry, legislative leaders and insurance industry representatives warned that something had to be done to restore the fund before another big storm hits Texas. Hurricane season begins Monday.

Perry had warned he may call a special session if the matter didn't get addressed.

"We got a good program here that's good for the inland folks as well as the coast," said Rep. Larry Taylor, R-Friendswood, before the House quickly approved the measure.

House Speaker Joe Straus said the legislation "is critical to providing Texans the tools necessary to financially recover from the ravages of hurricanes."

Sen. Troy Fraser, R-Horseshoe Bay, said one provision of the compromise plan calls for the state to provide a bridge loan of sorts to the windstorm fund until 10-year bonds can be issued after a major hurricane strikes.

Coastal residents would pay into the fund through their insurance premiums, covering the cost of paying off the bonds, he said. There are no automatic surcharges for coastal residents as had been discussed earlier this session. Fraser said coastal legislators signed off on the agreement.

"This is good public policy and it's fair to the coastal people. This is good for the state of Texas because it has taken us off the hook," Fraser said.

Under the current system, funded heavily by assessments to insurance companies, those companies can seek state tax credits on some of the payments they make into the system, thus impacting the state budget over time.

The compromise deal also would have insurance companies pay into the windstorm account for a portion of the money needed for claims after a big hurricane, once the funding needs reach certain trigger levels in the billions of dollars.

Reaching an agreement on overhauling the windstorm insurance fund was one of the trickiest issues this legislative session. Coastal and inland representatives had trouble for months finding common ground that they thought would be fair to all their constituents.

Furthermore, windstorm legislation was among numerous bills jeopardized by a stalemate in the House during Memorial Day weekend over an unrelated voter identification proposal. But senators managed to tack the windstorm bill onto other legislation and it proceeded to a House-Senate negotiating committee by the end of the session.

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The windstorm insurance bill is HB4409.

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Associated Press writer Jackie Stone contributed to this report.