Property insurance bill that allows for larger Citizens rate hikes clears Florida Legislature

An overhaul of Florida’s property insurance regulations that allows for larger rate hikes at state-run Citizens Property Insurance and makes other changes pitched as a lifeline for struggling private insurers cleared the Florida Legislature Friday.

Private property insurers have been raising rates as they complain about litigation costs, prompting lawmakers to respond. Supporters of the insurance bill say it will keep rates down by targeting what they describe as unscrupulous legal practices.

“I think you’ll start to see the return to a vibrant insurance market,” said bill sponsor Sen. Jim Boyd, R-Bradenton.

Homeowners and plaintiffs attorneys involved in insurance litigation have complained bitterly about the legislation, though, arguing it will make it harder to get legitimate claims paid. Homeowners impacted by Hurricane Michael testified at a recent committee hearing that they resorted to litigation after being lowballed by their insurance carriers.

Read more: https://www.palmbeachpost.com/story/news/politics/2021/04/30/florida-legislature-approves-property-insurance-changes-sought-industry/7409491002/