Jim Brenner’s Plan
To Fix Our State’s Insurance Crisis
To address Florida’s property insurance crisis, I support a range of additional measures aimed at stabilizing the market and providing relief to homeowners:
Strengthening State Oversight and Regulation: The state must enhance its regulatory oversight of insurance companies to ensure fair pricing and protect consumers from arbitrary rate increases. Implementing stronger consumer protection standards can prevent insurers from taking advantage of homeowners through excessive premiums or sudden policy cancellations, particularly after disasters.
Expanding the Role of Citizens Property Insurance Corporation: Citizens, the state-backed insurer, should be allowed to expand its coverage to serve more Floridians. The private market has struggled to provide affordable coverage, and allowing Citizens to act as a more robust safety net could offer immediate relief to those facing skyrocketing premiums.
Creating Reinsurance Support Programs: The state should explore providing reinsurance support or subsidies to insurers, which can help them manage risk more effectively. Reinsurance costs are a major factor in high premiums, and state assistance could reduce these costs, benefiting policyholders.
Encouraging Mitigation Efforts: Florida should expand incentives for homeowners to make their properties more resilient to hurricanes and flooding. Providing tax credits, grants, or low-interest loans for windstorm protection measures, roof reinforcements, and floodproofing will not only reduce the risk of damage but also lower insurance premiums over time.
Promoting Competition in the Insurance Market: Encouraging more insurance companies to enter the Florida market by reducing barriers to entry and offering incentives for insurers to write policies in highrisk areas can help increase competition, driving down premiums.
Addressing Fraud and Litigation Abuse: While protecting consumer rights, Florida needs to address rampant fraud and litigation abuse, which contribute to rising insurance costs. Legal reforms targeting frivolous lawsuits related to property claims can help stabilize the market without undermining legitimate claims.
Supporting Long-Term Climate Resilience Strategies: Since Florida’s property insurance crisis is driven in large part by climate change and the increasing frequency of natural disasters, the state must invest in long-term climate resilience. This includes strengthening building codes, improving infrastructure, and adopting comprehensive coastal protection strategies to reduce the risks faced by homeowners.
By implementing these measures, we can help stabilize Florida’s property insurance market, ensure fair pricing, and protect homeowners from the financial burden of rising premiums.
