Good points. Certainly the reinsurance costs have been an issue for carriers and created pricing issues. Being able to take more timely rate action would have to help. It works in the auto market.
The Website sounds like a good idea on the boardroom table but in practice it just doesn’t work. There is no way the OIR can keep up with county & zip code closures and other underwriting restrictions which will make the info obsolete and frustrate consumers. Additionally, the OIR can’t seem to get a handle on solvency issues now so how would a Website stay up to date.
Baby steps with no storms are fine. If we have a major hurricane on the other hand, you’re absolutely right. We’ve been rolling the dice since 2007. Maybe we’ll stay lucky…
Local SW FL papers have done extensive research/articles on perils of insurance industry in stirring up residents. Nobody cares much until that BIG one comes our way.
I say legislators should do the right thing and pass the bill. Let Gov. Charlie veto it. With his full time work now being getting himself elected to Senate, he will not like do that…or much of anything else. He is a joke and insurance is one of the MANY issues he has failed to address. Insurance needs attention NOW (yesterday) and everyone knows that. Step up and make some tough decisions, before Mother Nature and a BIG hurricane make us all sorry and the finger pointing begins in retrospect.
I see noone addressing the fact that if the insurance company holds back 50% of the money needed to make necessary repairs after a loss and the property owner doesn’t have the other 50% he’s out of luck and the insurance company KEEPS the 50% for themselves.
Does that seem right even after the consumer pays an added premium for REPLACEMENT COST INSURANCE?
Who’s business is it if the consumer replaces a piano or not? He has a diminished value he has to live with and should be compensated fully.
But then again most responders here are concerned about where their bread is being buttered, it should be their customers, that’s who’s paying their salaries.
Florida is the ONLY state that currently requires full payment of replacement cost up front. Do you suppose that in the rest off the country people aren’t getting their houses repaired?
When insurance companies had to pay replacement cost up front, the number of claims filed for entire tile floors exploded, especially in S Florida and public adjusters were behind that. I see claims for 60-70k for the smallest chip or imperfection. Filing a claim for that is bad enough but at least when the insured had to replace the tile then collect the balance of the claim, these claims were not the issue they are today. Something needs to be done. The costs just get passed on to everyone.
These are baby steps, but I think we’re headed in the right direction.
And OIR is famous for telling companies that commissions and other expenses related to acquiring new customers are too high. This is undisputed fact.
Good points. Certainly the reinsurance costs have been an issue for carriers and created pricing issues. Being able to take more timely rate action would have to help. It works in the auto market.
The Website sounds like a good idea on the boardroom table but in practice it just doesn’t work. There is no way the OIR can keep up with county & zip code closures and other underwriting restrictions which will make the info obsolete and frustrate consumers. Additionally, the OIR can’t seem to get a handle on solvency issues now so how would a Website stay up to date.
Rate deregulation is the only solution at this point. Well, that or a major hurricane.
I wonder which would be more painful to Florida policyholders?
THE REAL PROBLEM IS CRIST—HE STIFLES COMPETITION!!!
Baby steps with no storms are fine. If we have a major hurricane on the other hand, you’re absolutely right. We’ve been rolling the dice since 2007. Maybe we’ll stay lucky…
No, rate deregulation is not the solution. It would only make things worse.
Local SW FL papers have done extensive research/articles on perils of insurance industry in stirring up residents. Nobody cares much until that BIG one comes our way.
I say legislators should do the right thing and pass the bill. Let Gov. Charlie veto it. With his full time work now being getting himself elected to Senate, he will not like do that…or much of anything else. He is a joke and insurance is one of the MANY issues he has failed to address. Insurance needs attention NOW (yesterday) and everyone knows that. Step up and make some tough decisions, before Mother Nature and a BIG hurricane make us all sorry and the finger pointing begins in retrospect.
I see noone addressing the fact that if the insurance company holds back 50% of the money needed to make necessary repairs after a loss and the property owner doesn’t have the other 50% he’s out of luck and the insurance company KEEPS the 50% for themselves.
Does that seem right even after the consumer pays an added premium for REPLACEMENT COST INSURANCE?
Who’s business is it if the consumer replaces a piano or not? He has a diminished value he has to live with and should be compensated fully.
But then again most responders here are concerned about where their bread is being buttered, it should be their customers, that’s who’s paying their salaries.
Florida is the ONLY state that currently requires full payment of replacement cost up front. Do you suppose that in the rest off the country people aren’t getting their houses repaired?
The true definition of insurance is really ACV, not replacement cost. Wonder if the FL market would be better with ACV only policies?
When insurance companies had to pay replacement cost up front, the number of claims filed for entire tile floors exploded, especially in S Florida and public adjusters were behind that. I see claims for 60-70k for the smallest chip or imperfection. Filing a claim for that is bad enough but at least when the insured had to replace the tile then collect the balance of the claim, these claims were not the issue they are today. Something needs to be done. The costs just get passed on to everyone.