Opinion Editorial by FAIR Executive Chairman, Jay Neal
Published in Insurance Journal
Floridians pay the highest homeowner’s insurance rates in the nation. No one should be surprised by this. Florida is a long relatively narrow large peninsula jutting out into bodies of warm water prone to tropical storms and hurricanes. But we also have the most robust and competitive homeowner’s market of any state by far. This fierce competition keeps rates lower than they might be otherwise. As a consumer advocate, I have never been shy about stating that good market conditions create competition and innovation which benefits insurance consumers.
We simply cannot ignore these expected rate increases. The Florida legislature should use the existing policy levers to get in front of the problem. The last decade has been a positive one for property insurance. Let’s be smart and do what we need to do during the current rough period.