Weak insurers put Floridians at risk (Punta Gorda, Nokomis: insurance, big house, live in)

[tommy-105]

Disturbing article about the state of homeowner's insurance in Florida.

No one knows what will happen when the next big storm strikes Florida shores. But the signs are not promising.SPECIAL REPORT: Weak insurers put Floridians at risk | | HeraldTribune.com

[RhysNJ]

Very disturbing, indeed. Thank you for posting this.

Rhys

[loves2read]

I sent that article to my daughter who lives in Nokomis and her friend who is moving there soon--
hopefully if my daughter has one of the less-financed insurance companies they can take steps to move their policy (even at a higher rate)

free market--indeed--
I know there is nothing "free" in the market or the world--I don't know why the FL legislature or anyone else fails to recognize/acknowledge that fact--
we all pay in some ways/shape/form for everything we have/enjoy/need in life...every day...

[gettinoutofjersey]

how is citizens? what companies are questionable?

[tommy-105]

Originally Posted by RhysNJ

Very disturbing, indeed. Thank you for posting this.

Rhys

Thank you. I live in Punta Gorda. We moved here a year after hurricane Charley. There were many storm damaged uninhabited homes throughout the area when we arrived.

Most of these homes were eventually torn down, and are now empty lots. People who thought they had enough coverage found out otherwise and were never able to rebuild. (Including the family that lived right next door to us)

They have a policy here called the fifty percent rule. If the cost of repairs goes above fifty percent of the homes value, you must bring up the entire structure to current codes. This includes elevation.

Many people who simply lost roof shingles had rain water get in their homes. With no electricity to dry things out, mold took over, resulting in costly remediation that might have put them over the fifty percent.

[tommy-105]

Originally Posted by gettinoutofjersey

how is citizens? what companies are questionable?

Citizens is a last choice option run by the state. They issue policies on properties the others don't want.

There is a search box at the end of the article to look up other companies.

[TriMT7]

Good article and link. I have Universal, and they are sound by all measures according to the search box.

[Big House]

The state regulates the insurance companies allowed to do business in the state. The insurance companies have to have a certain rating and good qualified financial status in order to offer insurance in the state. Citizens is a state financed insurance company, and does offer insurance for some properties that other insurance companies won't cover because they determine them too risky. The state uses the massive market here to some big insurance companies like Allstate and State Farm so that they will offer here. And if they want other parts of the insurance market here they have to also offer home owner's and flood insurance.

The state of florida is a pretty good overall insurance market. There is a pretty good risk for losses due to the potential for hurricanes - I think it is more when, not if that there will be some. But, the State makes the insurance companies to participate in the home owner insurance coverage business if they want approval to sell in the state. Insurance companies make deals with the state that limit competition, and this is one of the trade offs. Other companies will jump in if given the chance.

[tommy-105]

Originally Posted by Big House

The state regulates the insurance companies allowed to do business in the state. The insurance companies have to have a certain rating and good qualified financial status in order to offer insurance in the state. Citizens is a state financed insurance company, and does offer insurance for some properties that other insurance companies won't cover because they determine them too risky. The state uses the massive market here to some big insurance companies like Allstate and State Farm so that they will offer here. And if they want other parts of the insurance market here they have to also offer home owner's and flood insurance.

The state of florida is a pretty good overall insurance market. There is a pretty good risk for losses due to the potential for hurricanes - I think it is more when, not if that there will be some. But, the State makes the insurance companies to participate in the home owner insurance coverage business if they want approval to sell in the state. Insurance companies make deals with the state that limit competition, and this is one of the trade offs. Other companies will jump in if given the chance.

Big House, did you bother to read the article?

[tommy-105]

Originally Posted by TriMT7

Good article and link. I have Universal, and they are sound by all measures according to the search box.

Thank you.