The governor has called back the Florida legislature to Tallahassee for another special session. This one is to deal with the simmering homeownersโ insurance crisis facing the state. It starts on May 23 and is set to only last one week.
What's next: Hurricane season opens on June 1, five days after the session ends.
Why it matters: Since 2017, weโve lost six property and casualty insurers to liquidation, and another two filed for liquidation this year. Others are leaving the state, some are teetering on the edge of liquidation, and more are non-renewing policies or raising rates on properties to a point that theyโre unaffordable. For each of the past two years, the industry has paid out over $1 billion in losses each year.
We have heard from numerous homeowners in the past month, complaining of being dropped or seeing their rates increase three- and four-fold over last yearโs premiums. These stories have been more prevalent than at any other time since Citizens Insurance โ the insurer of last resort โ was created to back-stop the industry.
Yes, but: Sweeping changes made in 2021 havenโt had the effect that the legislature had expected to help lower rates and losses.
Tips to avoid non-renewal :
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Update your roof
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Get a wind mitigation report and follow its recommendations
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Get a โFour-Pointโ inspection and follow its recommendations to maintain or improve the propertyโs components that lead to the biggest claims.
What to do if you receive a non-renewal notice or if your insurer leaves the state:
Our thought bubble: Weโre hopeful the Legislature will use this special session to accomplish something that will help Florida homeowners.