Jimkalinger, Chairman of the Small Business and Consumer Aliens
It looks like a stable premium relief for your property insurance.
After reading the previous line, you may be wondering.
To understand, provide simple historical lessons. For the past 20 years, the Florida insurance market has shown a big crack. Premiums have increased rapidly, and the number of housing owners driven by citizen property insurance, which is the last resort in the state, has increased in an explanatory function.
As an further effect, it created a failure in the real estate industry, caused a barrier to home ownership, and had a further impact on the construction, banks and retail departments. You can also measure the impact of the trickle down to the restaurant, the accommodation industry, and the service industry. Furthermore, since the property insurance of citizens is supported by Taxpayers in Florida, the risk of this semi -public company is a financial risk for all states in the Solvency crisis.
The outline is as follows. Florida’s property -saving crisis reduces almost all aspects of our economy.
Some suggest that these cracks were caused by the fact that we live at the forefront of the American Arashi Corridor. Certainly, hurricane is related to the increase in insurance premiums. However, there are other important factors, especially fraud, inflation, and litigation.
Fraud is unpredictable and immeasurable, especially in Southern Florida, the amount of property insurance fraud is extensive. It is one of the worst markets in Japan, and if the South Florida fraud has not been checked, it will impose insurance expenses for all people in the state.
Inflation is beyond our management, and the best thing that happened in this point is a conservative president and parliamentary elections. If the runaway federal government is delayed, inflation will be slow. If it costs 25 % higher to exchange a house than four years ago, it is expected that insurance expenses will increase accordingly.
The lawsuit is what we can, and what we did. In 2023, the Florida Congress and the Governor passed a litigation reform to prevent a frightening lawsuit from becoming a surprising cost in the insurance market. In essence, Florida has basically demanded that many claims raised to the insurance company to get a tab for the resolved lawyer expenses. It was a litigation hell. In many cases, the commission was much larger than the village itself, and it was a greater exponential function. By placing some curb in this activity, some insurance policyholders have first leveled up, and even a premium rate descent shift has been created.
For the past year, more and more insurance companies have submitted the necessary documents to do business in Florida. We know that these litigation reforms have greatly helpful because additional competitiveness has brought the market great. You don’t have to retreat from them now. In fact, there may be other things we can do to bring some common sense to court and stop the frivolous lawsuit more importantly. It is also necessary to continue to strengthen penalties for insurance fraud. Not only from the company, but also from us to pay insurance premiums.
Elections bring results, and leadership affects our economy. If the national conservatives hold the boundary related to inflation and the conservatives at home have lines related to fraud and lawsuit, Florida insurance may be evaluated for the future and for the next many years. Maybe.
