Florida’s streak of dodging hurricanes is over, but the state-created fund that helps private insurers pay out claims after a storm remains in strong financial shape.
Anne Bert, the chief operating officer of the Florida Hurricane Catastrophe Fund, said preliminary estimates predict that the fund will pay out less than $200 million for Hurricane Matthew. Bert said it appears there will likely be only minimal payouts associated with Hurricane Hermine.
The fund’s advisory council on Tuesday approved new financial estimates that show the fund has roughly $17.5 billion available and could borrow $7.7 billion more if needed.
The financial health of the fund is important because the state can impose a surcharge on most insurance policies to replenish it if the money runs out. Some critics have called the surcharge a “hurricane tax.”
Topics Catastrophe Natural Disasters Florida Windstorm Hurricane
Was this article valuable?
Here are more articles you may enjoy.
Lilly Flags Safety Risk in Compounded Zepbound Mixed With Vitamin B12 
Fund Trying to Turn New Mexico Desert into an Advanced Tech Hub 
Prices for New Cars Have Soared. Here’s One Big Reason Why 
AIG, McGill Announce Collaboration to Potentially Transform Subscription Market 
