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'It's going to take time': Florida leaders continue to urge patience amid crushing home insurance costs

Some carriers now looking at small rate reductions, CFO Jimmy Patronis says
Posted at 6:13 PM, Apr 26, 2024

WEST PALM BEACH, Fla. — Patience is the word state officials are telling many Florida policyholders to have when it comes to insurance.

"I said we needed 12 to 18 months for their correction to take effect, and here we are at month 14," Florida Chief Financial Officer Jimmy Patronis said Thursday. "We're having carriers that are starting to drop rates."

Patronis made that statement during an insurance roundtable held this week in Clearwater as he tried to explain the efforts to stabilize insurance in the state.

Jimmy Patronis at Clearwater insurance roundtable discussion, April 25, 2024

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"Eight new carriers coming to the state of Florida," Patronis said. "One is about to be announced — a ninth carrier. No other state in the country is seeing this type of interest coming back to the Florida market."

The reforms passed by the Legislature in December 2022 were designed to attract new insurers and Patronis said that's what's happening.

Insurance Commissioner Michael Yaworsky said most of the litigation issues were concentrated in Palm Beach, Broward and Dade counties.

Insurance Commissioner Michael Yaworsky explains the measures Florida has taken to reduce home insurance costs.
Insurance Commissioner Michael Yaworsky explains the measures Florida has taken to reduce home insurance costs.

"One in four claims were litigated in an area of the state that had not impacted directly by catastrophe in over a decade," Yaworsky said.

Patronis also said some carriers are now looking at small rate reductions and the reinsurance market is improving, all signs toward stability.

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However, too many in Florida are still seeing rising rates and difficulty finding policies. State officials say more patience is needed.

"It's going to take time for the reduction in litigation to pay off," Yaworsky said.

If you have a question or comment on homeowners insurance, email WPTV reporter Matt Sczesny at matt.sczesny@wptv.com