TALLAHASSEE (CBSMiami/AP) – Florida lawmakers are holding a particular session this week in hopes of tackling the state’s troubled property insurance coverage system.
Governor Ron Desantis referred to as the session amid widespread issues together with owners shedding their protection and enormous fee hikes.
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Many have written to CBS4 concerning fee hikes, cancellations and even paying out of pocket for issues like a brand new roof.
Senator Jeff Brandes, who pushed for this assembly, mentioned we’re in a state of disaster as charges proceed to rise. Many charges skyrocketing greater than 30 %.
Brandes additionally pointed to the insurance coverage carriers pulling out of the state and traders should not investing in Florida.
He spoke to Jim DeFede on Facing South Florida about how this can be a main downside with the beginning of hurricane season proper across the nook.
“We’ve lost three companies in the last three months. We’ve had a company just in the last few days announce that it’s going to drop 70,000 policies just as we enter hurricane season in order to try to stay alive. And we’re not even sure that’s going to work. So, you know, basically, the Office of Insurance Regulation is pumping the chest of about 6 to 12 companies in the state right now, trying to keep them alive because they’re close to death,” he mentioned.
WATCH: Sen. Jeff Brandes On Facing South Florida With Jim DeFede
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In his proclamation calling lawmakers again to Tallahassee, Republican Gov. Ron DeSantis additionally highlighted a number of points which have contributed to rising insurance coverage charges within the state, together with excessive charges of insurance coverage litigation that drive up premiums and big underwriting losses for insurance coverage firms which have resulted within the insolvency or canceled insurance policies, amongst different issues.
Florida Chief Financial Officer Jimmy Patronis mentioned the state final yr accounted for 9% of all claims filed nationally however almost 80% of all of the property insurance coverage lawsuits.
Florida regulation makes it extremely worthwhile for legal professionals to sue insurance coverage firms even when the quantity received is comparatively small, and former strikes to restrict legal professional charges haven’t stopped the crush of authorized charges.
“The market right now is experiencing challenges that I don’t know if I’ve ever seen in my 16 years of being in Tallahassee,” he mentioned.
It continues to be unclear precisely how the GOP-controlled statehouse plans to deal with the problem legislatively. DeSantis hopes the week-long session will give you methods to stabilize the market.
The housing disaster is leaving many determined for assist. That’s why CBS News Miami needs to share your tales to indicate the disaster you’re in or the way you navigated the system. We will spotlight these points and work to get solutions and options. Send us an e-mail at [email protected].
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