Hurricane Ian may bring Florida home insurance market to brink of collapse, analysts fear
Faced with billions in losses even before the hurricane, several dozen insurers stopped underwriting policies in Florida, while six insurers became insolvent.
By BEN ZION GAD
Published: OCTOBER 2, 2022
As Hurricane Ian’s death toll in Florida rises to over 50 and rescue teams continue to assist victims, analysts are worried that the storm may bring about further destruction – specifically in Florida’s home insurance market. Due to much of the state being in a disaster area, Florida was never a priority region for the nation’s largest home insurance companies – State Farm covers just 8% of Florida’s home insurance market, and no other major national insurer has more than 4% – and the home insurance market has typically been dominated by regional companies.
Faced with rising losses even before the hurricane, several dozen insurers stopped underwriting policies in Florida, while six insurers became insolvent altogether. Insurance companies have lost over $1 billion in each of the last two years and hundreds of thousands of Floridians have had their policies dropped or not renewed, while millions have seen their home insurance premiums rise to nearly triple the national average – $4,231 a year per policy, compared to a US average of $1,544, per CNN.
more.............. https://www.jpost.com/business-and-innovation/all-news/article-718706
Faced with billions in losses even before the hurricane, several dozen insurers stopped underwriting policies in Florida, while six insurers became insolvent.
By BEN ZION GAD
Published: OCTOBER 2, 2022
As Hurricane Ian’s death toll in Florida rises to over 50 and rescue teams continue to assist victims, analysts are worried that the storm may bring about further destruction – specifically in Florida’s home insurance market. Due to much of the state being in a disaster area, Florida was never a priority region for the nation’s largest home insurance companies – State Farm covers just 8% of Florida’s home insurance market, and no other major national insurer has more than 4% – and the home insurance market has typically been dominated by regional companies.
Faced with rising losses even before the hurricane, several dozen insurers stopped underwriting policies in Florida, while six insurers became insolvent altogether. Insurance companies have lost over $1 billion in each of the last two years and hundreds of thousands of Floridians have had their policies dropped or not renewed, while millions have seen their home insurance premiums rise to nearly triple the national average – $4,231 a year per policy, compared to a US average of $1,544, per CNN.
more.............. https://www.jpost.com/business-and-innovation/all-news/article-718706
