Two Florida lawmakers are trying to increase scrutiny on private property insurers operating in the state, asking companies to further open their books when asking to increase their premiums.
Why It Matters
Over the past few years, home insurance premiums have skyrocketed in Florida because of a combination of excessive litigation, widespread fraud and the rising frequency and severity of natural disasters. While state lawmakers’ efforts to curb unnecessary litigation and attract fleeing insurers back into the state have been somewhat successful at stabilizing the market, Florida homeowners still pay the second-highest premiums in the nation.
The average annual premium for $300,000 in dwelling coverage in Florida is currently $5,488, according to Bankrate data—a much higher rate than the national average of $2,258. Only Nebraska homeowners paid higher premiums, at an annual average of $5,640 for $300,000 in dwelling coverage.
In some of the most disaster-prone areas of the Sunshine State, the average annual premium was even higher, with West Palm Beach and Fort Lauderdale homeowners paying $8,084 and $7,935, respectively, for $300,000 in dwelling coverage.
What To Know
Crestview Republican state Senator Don Gaetz and Pensacola Republican state Representative Alex Andrade recently introduced two bills— SB 554 and HB 451 —targeting Florida’s rising home insurance costs and trying to increase transparency around rate changes…