R.I.P. Florida Homeowner's Insurance

Hurricanes are part of living in Florida.

The current insurance crisis has to do with fraud and litigation. It was sinkholes 20 years ago. Now it is roofs that are driving the fraud and scams.

 

Not going bye-bye. Just going up-up.

 

I could see alot of people being dropped, as happened after Charley.

There are already very limited options in FL.

 

It’s also a feedback loop.

People moving here (construction boom) drives up prices. Higher replacement costs beget higher insurance rates. Hurricane damage just adds another layer on this demand (actually if this storm hits Tampa it will be more like dropping a wedding cake on top of a cupcake).

I just spent $70k reroofing a tile roof after Irma and that was completed right before things got crazy with materials, what’s the next one going to be, $100k? $150k? As it’s a very new roof hopefully it holds up!

I actually think a Tampa hit could collapse the insurance market given how many roofs we’d potentially be talking about (just roofs, before we even get into flooding and other damages).

 

Plainly it’s just going to be the state as the property and casualty insurer. We were already moving towards that anyway. There are a lot of reserves built up, but they’re going to be exhausted and no one’s going to want to insure Florida properties going forward at rates the state will permit and which are payable consistent with our current economic climate.


I’m not sure this could have been solved anyway but it certainly was not a priority among the culture wars and the national campaign

 

If it comes in around Sarasota and rides up along the coast the property damage will be enormous.

 

Absolutely it will. Which is the point of your OP, correct?

 

It's all part of a massive land grab opportunity for the corporate landlords. You can't get your house fixed, so they'll pay you less than it's still worth because it's your only option if you don't want to sleep and shower at the same time with a shotgun in your lap the rest of your life. Then you can go rent till the money runs out in a year or two, then your wife leaves you and takes the kids because women always have a safety net somewhere, somehow. Meanwhile, you live off of relatives if you have any left that will put up with you until they can't afford it and you end up holding a cardboard sign on the off-ramp and pissing and shitting under the overpass.

 

SOCIALISM!

 

You have a gift for concise sarcasm that I somehow lack.

 

???

No. I think you are missing the big picture. Hurricanes are priced in and no doubt can cause problems. But Ian is not going to be the reason homeowners insurance collapses in Florida. The real issue is fraud and litigation. Ian certainly won’t help there either.

 

When are the morons that sit in the state legislature actually going to quit accepting bribes from RE Developers and STOP construction on barrier islands?

Eventually hurricanes will wipe all the condos, human developments clean.

It's just the height of stupidity.

That is the LEAST the State could do!

 

No, hurricanes are not sufficiently priced in.

 

Charlie Crist said if he’s elected he’s going to force insurance companies to lower their rates. That would drive them out of Florida completely.

charlie crist commercial 2022 - Google Search

 

not sure if serious.

 

The model I'm looking at has Ian nearly stalled near (just west of) Tampa for about 36 hours. Wed evening to Fri mourning before heading north. That's scary to think about.

 

actually what he defined is socialism by definition.