I'm sure you've heard by now, Insurance
Companies here in Florida have been dropping policies at an alarming rate. There are a number of causes for this. In part, one of the main reasons Insurance
companies are dropping policies just so happens to be one of the main draws for
buyers and investors alike in Florida; the weather. Although Florida has year round sunshine and
warm, tropical climate, the flip side is that the storms in Florida can be destructive,
causing a lot of damage on property. This,
in turn, puts a massive economic strain on insurance companies, and has in fact
caused a number of them to go out of business or bankrupt. Another reason for the insurance crisis is
the high ratios of litigation for property claims in the state. Florida accounts for 9% of the nation’s
insurance claims, but 79% of the country’s Home Insurance lawsuits. While there are a number of reasons for this,
one of the main causes are all the roof insurance claims and lawsuits. In large part, this is driven oftentimes by
roofing contractors hiring door to door salespersons, who go door to door offering
free inspections on roofs. As they
conduct these inspections, they find reasons to put in claims for all new roof
replacements. The insurance company then
sends an adjuster, who often disagrees with the contractor, and it turns into a
legal process. This drawn out litigative
process ends up driving up the costs for everyone involved.
So what can you do?
If you’ve found yourself a recipient of an
insurance notice stating you will be dropped, or the company will soon be
insolvent, as has happened to thousands of Florida homeowners, your very first
step should be to find a new insurance carrier. I am thankful to say, I have an excellent insurance contact to help all
of my Florida homeowners and their insurance needs. If you’re looking for new insurance, simply
fill in the box below, and I’ll be happy to have my insurance referral reach
out to you immediately!