In December, Florida Legislators held a special session during which they passed a new bill that was signed into law in an attempt to stabilize Florida's troubled property insurance industry.
Unfortunately for Florida policyholders, it falls far short of its intended purpose, it is not so consumer friendly and ultimately favors the insurance industry.
The legislation raises many issues and questions, making it even more important that you have a qualified public adjuster on your side to obtain a proper insurance claim settlement.
What was the Intended Purpose?
According to the Insurance Information Institute, Florida homeowners, who already pay some of the highest insurance premiums in the nation, have witnessed average rate increases of 33%, with some receiving quotes for increases of up to 10 times their current premiums.
In light of statistics showing that Florida accounts for 7% of all property insurance claims but 74% of all property insurance litigation, the legislature responded with changes outlined in the bill.
What Changes Can be Expected?
Property insurers have long argued that litigation encourages cost increases and that so-called "one-way attorney fees" are to blame. The new legislation takes away one-way attorney fees, which mandated that insurance company’s cover the legal costs of policyholders who prevail in their insurance claims.
Unfavorable Changes for Policyholders:
What You Need to Know Before Selecting a Policy with Binding Mandatory Arbitration:
Policyholders Insured with Citizens Property Insurance Will See Increases
Citizens Property Insurance will now require that all their policyholders carry flood insurance. If you receive a comparable coverage offer from a private insurance carrier, even if the coverage is more costly, you will not be eligible for coverage with Citizens at renewal. If you own property and it is not your primary residence, your insurance rates will increase.
Some Favorable Changes for Policyholders:
Unbeknownst to many policyholders, these contractors were filing lawsuits against insurance companies to recover payment under their AOB. This certainly increased the amount of lawsuits that were filed when there was a claim dispute, and this only resulted in higher premiums for policyholders.
Hire a Public Adjuster to Help
The revisions contained in the bill are an overcorrection that strips homeowners of their rights and leaves property owners at the mercy of their insurance company.
Now more than ever, policyholders need a reputable partner like Reliant Insurance Adjusters to ensure your rights are protected and get you the claim settlement you deserve.