Florida homeowners pay nearly 3x national average for homeowners insurance – Tampa, Florida

Tampa, Florida 2022-06-23 05:34:05 –

Tampa Bay, Florida — The price to live in Paradise is high for homeowners. According to a new analysis, Florida citizens pay nearly three times the national average property insurance premiums.

According to the latest analysis from the Insurance Information Institute, Florida homeowners pay an average of $ 4,231 compared to the US average of $ 1,544.

“”The gap is getting bigger and bigger. And when it comes to increasing the average percentage, it’s well above the average of 30% in Florida. The average in the United States is less than 10%, “explained Mark Friedlander, a spokesman for the Insurance Information Association.

In addition, we are currently learning about the impact on Citizens Insurance Corps, a state-sponsored insurance company. CitizensInsuranceCorps is directly correlated with the number of insurance policies added last year.

“Our policy count as of Friday, June 17th is 899,642, and we can confidently say that we have more than 900,000 to date,” said citizen spokesperson Christine Ashburn on Wednesday morning. Spoke to ABC Action News.

In Florida as a whole, there were about 100,000 proceedings against insurance companies last year, while in other countries there were about 1,000 proceedings. Insurance company CEOs say these proceedings are the reason why so many companies go bankrupt, raise premiums, cancel coverage and send more and more residents to their citizens.

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“We have been fighting this real crisis since March 2015. For over seven years, referrals and lawyers have become more and more experts in the games being played,” said American Integrity CEO. Bob Richards said the proceedings. From the roofing company he gets every day.

On Thursday, the Citizens’ Claims Commission will submit a report to their Governor’s Board, demanding more funding to combat the increase in proceedings they are currently receiving.

According to the report, in the first four months of 2022, citizens added 75,000 policies and 3,881 proceedings. Report compiled by the Citizens’ Claims Committee..

The company added 12,000 insurance policies in the first week of June and 7,000 insurance policies in the third week due to the bankruptcy of Lighthouse Insurance in Louisiana. These are not included in the 75,000 they reported.

“”“This year we’ve already grown 18.5% since January 1st, and now it’s 43% bigger than it was a year ago in June last year,” said Ashburn.

Citizens are considered to be Florida’s last resort insurer, but nine real estate insurers in the state are currently liquidating, reducing one-tenth by almost half and dozens of other. The company either quits the customer, drops the customer, or doesn’t write a whole new business. They are becoming the first resort insurance company for many, mainly because of roof scams.


We scrutinized the citizens’ reports. The company states that it has filed about 1,000 proceedings a month this year, up 12% from this time last year.

In addition, according to the report, citizens spend an average of $ 6.5 million a month on what’s called a billing legal services contract, which includes company fees and expenses, rather than the costs of vendors such as court reporters and professionals.

Recommendation: Florida trustees are currently handling 8K claims and 2K proceedings in the homeowners insurance crisis

The map shows that 75% of the proceedings were filed in the Tri-County area from West Palm to Miami. Most are allegations of “non-weather water” that would cause the pipe to burst. Asburn said some are valid, but many are contractors using the system.

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Citizen property insurance corps.

The report states that the Central West area of ​​Tampa Bay has seen “a continuing increase in proceedings over the past two years.” According to Ashburn, the Central West now accounts for 15% of the proceedings, and policies in the region are increasing by 35.5%.

Perhaps the most shocking part of the report is a 93% increase in Benefit Allocation (AOB) proceedings, where homeowners have signed rights to contractors or roofers.

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AOB is a member of the Diet in 2019 May special sessionHowever, no permanent change has been seen yet.

“”The new bill, which has just passed a special session, will transfer benefit proceedings by removing the ability of transferees who are actually tasked with collecting fees under the one-way fee image, such as consumers. There were additional attempts to suppress it. It is accessible under the law, “said Ashburn.

She adds that many of these cases have been delayed since the court was closed during the COVID-19 pandemic.

Lawmakers said it would take about a year and a half to confirm the changes from the special session, but industry experts suggest that it could take much longer.

“Even if tort reforms are implemented in a special session in May, it will be a radar screen blip. I don’t think this trend will slow down at all,” Friedlander concludes. “In fact, based on what we see in this citizen’s data, it could potentially continue to grow.”

At a meeting on Thursday, the Citizens’ Claims Commission will ask the Board for an additional $ 50 million to handle all these proceedings and an additional $ 2.5 million to hire court reporters.

The Governors’ Association will make a decision at the meeting on July 13.


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