Florida's Insurance Crisis

[yippie]

Here is a link to the Daily News insurance storys. They have been running a series of stories following the Legislation.

http://www.nwfdailynews.com/articleArchive/jan2007/insuranceshelter.php

One of the things I favor is to stop insurance companies from forming a separate subsidery from the mother company. Presently, many of the major insurance companies consider their Florida operations separate from their national company. When they go to the state asking for approval for a HUGE rate increase, they only present the portion "____ of Florida" financials, not the overall picture.

Of course, up until now, they have shown HUGE losses in Florida, but record profits nationally.

That needs to change!

 

[flyforfun]

But here is the catch.... If "we" get hit by another storm we are going to raise 180%... Now are you all happy! You get your way and we can go back to making more money. Thank you!

Yea, that is the kind of language insurance companies dream about having, but no one is going to sign off on that deal! What is needed is a an elected public service commission to over view any and all request for rate increases! Not just storm coverage, but for auto and health. Would be model legislation for the rest of the country!

 

[Bobby J]

Yea, that is the kind of language insurance companies dream about having, but no one is going to sign off on that deal! What is needed is a an elected public service commission to over view any and all request for rate increases! Not just storm coverage, but for auto and health. Would be model legislation for the rest of the country!

Why do you feel noone wil sgn off on that!

 

[Bob]

Notice that the inland homeowners will continue to subsidize coastal owners through shortfall assesments. Add the lack of this year's rate increases to the mix, and you have more of the same with greater exposure to inland policyholders for the next big storm, Nothing much has changed.

 

[flyforfun]

Why do you feel noone wil sgn off on that!

Well Bobby J, Florida is going to continue to get hurricane's and unless there is a very high threshold amount, they will be getting the go ahead for a 180% increase every 3-4 years. No one is going to agree to do that.

 

[TooFarTampa]

The latest. Accurate, readable, boiled down:

http://www.sptimes.com/2007/01/19/State/The_results__a_freeze.shtml

 

[Bobby J]

Well Bobby J, Florida is going to continue to get hurricane's and unless there is a very high threshold amount, they will be getting the go ahead for a 180% increase every 3-4 years. No one is going to agree to do that.

I was having fun with the 180% increase but my Uncle said it is going to be a break up front and a big hit if they get hit. A compromise if you will! They are in the money making business and will not lose money. If they lose they will close up just like you and I would. We shall see...

 

[yippie]

Yea, that is the kind of language insurance companies dream about having, but no one is going to sign off on that deal! What is needed is a an elected public service commission to over view any and all request for rate increases! Not just storm coverage, but for auto and health. Would be model legislation for the rest of the country!

The public service commission doesn't deal with anything except public utilities.

The insurance companies go in front of the Insurance Commission and the State Legislators for approval.

 

[Bobby J]

The public service commission doesn't deal with anything except public utilities.

The insurance companies go in front of the Insurance Commission and the State Legislators for approval.

And they do it quite well I might add

 

[Smiling JOe]

Notice that the inland homeowners will continue to subsidize coastal owners through shortfall assesments. Add the lack of this year's rate increases to the mix, and you have more of the same with greater exposure to inland policyholders for the next big storm, Nothing much has changed.

That part wouldn't be nearly as bad if people didn't build expensive homes along the coast. (I am not just refering specifically to SoWal, but coastal Florida.)