Florida continues to have trouble with insurance rates
Homeowners in Florida are no strangers to high insurance rates. Homeowners insurance premiums throughout the state have often drawn criticism for being quite high and on the verge of being uncontrolled. A new report from the National Association of Insurance Commissioners aims to shed some light on the issue by comparing Florida homeowners insurance rates with those found in other states. Notably, other states that have experienced more natural disasters than Florida in recent years have lower insurance rates by comparison.
Report shows that Florida leads when it comes to insurance costs
According to the report, Florida is home to the highest home insurance rates in the U.S. The state leads others by a significant margin as well, with the average premium coming in at $1,993 compared to the national average of $978. Homeowners insurance rates tend to be quite high for states located along the Gulf of Mexico, but no other state in that region comes close to Florida when it comes to insurance costs.
Lawmakers are slow to act on the insurance issue
Lawmakers in Florida are often pressured to rein in on rising insurance rates, but little legislative action has yet to be taken on the issue. In fact, lawmakers have charged the state’s Citizens Property Insurance with removing policies in order to address the state-run organization’s financial issues. This involved Citizens increasing its rates significant in an attempt to drive policyholders to private companies. The endeavor has been successful, but consumers have been eager to find some relief from the higher rates they have to manage for their policies.
Florida homeowners have few insurance options
The National Association of Insurance Commissioners suggests that it is important to inform the insurance industry that there is some degree of accountability, even if it only comes in the form of sharing information with consumers. Whether the report released by the organization will have an impact on Florida homeowners insurance rates is impossible to say. Currently, insurance coverage is a prerequisite for those with mortgages, and the options that these homeowners have in Florida are very limited when it comes to coverage.
