Florida State Senator Tracie Davis has called on Governor Ron DeSantis to take immediate action and convene another special session to address skyrocketing insurance premiums and policy cancellations.
Davis, who represents Jacksonville, said the property insurance reforms passed after a special legislative session last December provided stability to insurance companies but failed to offer relief to homeowners.
These reforms were focused on cutting down insurance fraud, excessive litigation, and one-way attorneys’ fees for property claims. They also introduced a new $1 billion Florida Optional Reinsurance Assistance (FORA) program, on top of the existing $2 billion reinsurance assistance program.
“We have the dollars and cents to help these insurance companies stay in Florida,” said Davis. “But we also have the dollars and cents to make sure that we are creating options, looking at everything we possibly can look at to ensure we’re providing savings for Floridians.”
Florida homeowners pay an average of $6,000 annually for property insurance, compared to the national average of approximately $1,700. And these costs are expected to balloon even further as insurers continue to limit their exposure in the state.
Farmers Insurance recently announced it would be pulling out of its own-branded business in Florida. Soon after, AAA came out with a similar announcement stating that it will no longer renew home and auto insurance policies for some customers.
“Unfortunately, Florida’s insurance market has become challenging in recent years,” AAA said in a statement obtained by CBS News. “Last year’s catastrophic hurricane season contributed to an unprecedented rise in reinsurance rates, making it more costly for insurance companies to operate.”
Amid these concerns, Davis pressed Governor DeSantis to prioritize the concerns of Florida residents over his political ambitions.
“Governor, come home and take care of your state,” she said. “We all know that he’s running for president, but we have real problems, real issues, and the crisis with property insurance.
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