Property Insurance Bills Head To DeSantis' Office
Senior Policy Advisor Beth Vecchioli was interviewed for a Law360 article about a pair of Florida bills seeking to address Florida's property insurance crisis. The bills are now headed to Gov. Ron DeSantis, who already signaled he would sign both of them. Florida House representatives pushed these property insurance bills forward despite efforts by some lawmakers to amend a $2 billion reinsurance program — described as a bailout to help insurers with significant losses — to pass savings directly on to consumers instead.
The article discusses the positive feedback the new Reinsurance to Assist Policyholders (RAP) program has received from the insurance community, which some believe could have a direct impact on premium rates. Ms. Vecchioli said the final product is a "good balance" with both sides sacrificing certain aspects, and the reinsurance provision "is the shining star of the bill."
The RAP program provides much-needed protection for insurance carriers are having difficulty obtaining private reinsurance as hurricane season approaches, and would require participating insurance carriers to make rate filings on the savings received.
Ms. Vecchioli noted that the savings would be passed to policyholders through reduced rates. She also added that Florida's lawmakers were eager to include the reinsurance provision because the consumer rate relief will most likely be reflected sooner in rates than with any litigation reform that would take more time.
READ: Property Insurance Bills Head to DeSantis' Office (subscription required)