Next week on 3/2 in Tallahassee our Lawmakers get together again and the Insurance isues are now bigger and badder than before. The  Home Insurance companies are all loosing money and we have not seen a Hurricane since Hurricane  Wilma in October 2005 in Florida. How can this be, but it is a reality that must be faced by all. The problems are that the large Insurance companies that have national  businesses like State Farm do not write busienss in Florida and they are dropping customer’s again this year by by almost 200K  more  overall. The smaller companies in Florida that do write busienss struggle and the State of Florida is on the hook w/ reinsurance and the Florida Cat Fund! The responsibility is in the  Billions for the State of Florida and the only way to resolve the problem to get Florida off the hook is to allow companies to raise prices and hope that a deregulation policy that is likely to get passed this session is the only possible scenario for Florida. Like it or not, this will have to be the way to save Florida financially. This means that we are all going to pay higher rates so the cat fund can be built up w/ enough surplus to handle a  1 in 25 year storm so it has the ability to pay. This should be a  5 year plan that eventually, could then see rates come down. So much can happen in that time that there is no way to tell. Higher rates can come in many ways and 1 of them is wind Mitigation credits being reduced or tougher rules made to make the discounts for true hurricane protection and not just a discount like it has been. Citizens has already determined that 70% of all inspections re done has found errors that will yield higher prenmiums without a rate increase. All companies are now doing this  as well and the cost of Insurance will bget much higher for most. I do not know who can afford this or will want to afford this, but it is what is happening now. Please stay tuned to this blog for more info as it deveelops over the Florida Legislative session.Rset assured that the good new curently is that there are still multiple companies writing Insurance and the ability to  shop is still there for most, but they may not like the news as increses are still the norm.

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