AMBest Report Shows Florida Insurers Far Out of Line on Reinsurance Dependency

By | September 15, 2022

  • September 15, 2022 at 12:41 pm
    FL Analyst says:
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    This is the Insurance version of “faking it until you make it.” This is nothing new. The majority of the FL HO market has been dominated by reinsurance reliant, regional specialists since the national players pulled out 15 years ago in wake of ’04-’05 storms.

    What’s the solution to reducing Reinsurance reliance though? Business performance isn’t growing surplus levels. To remove Reinsurance from the equation would just create availability issues (of which we’re beginning to see).

    I appreciate Mr. Mango’s insights, but can’t help but wish a remedy could be prescribed to match the diagnosis.

  • September 16, 2022 at 10:47 am
    TxLady says:
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    Based on the Florida market’s heavy reliance on reinsurers, maybe Demotech’s downgrades are not so wrong. Instead of the shoot the messenger and get us a new messenger approach the carriers are taking, maybe it’s time to listen to the one you have.



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