Florida Citizens news

Commenting on the potential for legislative reform in the challenged property insurance market of Florida, RenaissanceRe CEO Kevin O’Donnell remarked that a reduction in the FHCF attachment point will change nothing for his reinsurance firm’s view of risk in the state.

Global reinsurance giant Swiss Re looks set to remain underweight on Florida reinsurance business, as unless the market accepts its view of risk, the company is unlikely to expand in the state and lacks optimism on the potential for pricing to rise adequately, its CFO John Dacey explained this morning.

In order for progress to be made in reforming and fixing Florida’s property insurance crisis, analysts at Assured Research have said that the only way to move forwards may be for reinsurance underwriters to pull capacity from the state.

For under-pressure property insurers in the challenged Florida marketplace, achieving a full placement of their Florida-focused catastrophe reinsurance programs at the upcoming June 1 renewal season is set to be challenging, analysts at AM Best have said.

The Governor of Florida Ron DeSantis has now issued an official proclamation calling for a special legislative session, specifically to address issues the state is facing in the property insurance and reinsurance marketplace.

Florida’s Citizens Property Insurance Corporation is back in the catastrophe bond market to sponsor a $100 million or greater Everglades Re II Ltd. (Series 2022-1) transaction, from which it is seeking named storm reinsurance protection for its Personal Lines Account book of business.

Governor of Florida, Ron DeSantis has revealed his intention to call a special legislative session in May, with one of the primary goals being to debate and enact some property insurance market reforms in an attempt to slow the developing insurance crisis in the state.

Property insurers on the hurricane exposed coast of the United States are increasingly at-risk of failure due to “solvency-threatening storms”, with the latest insolvency being Lighthouse in Louisiana, but Florida continues to be the most challenged state.

Lawmakers and insurance market interests continue to push for a special legislative session in Florida, to raise and enact property insurance reforms to prevent the local marketplace from continuing down a path towards total “collapse,” but there’s a lot of uncertainty still over whether it will happen.

Lighthouse Property Insurance Corporation has the unfortunate title of becoming the first coastal property insurance specialist to lose its rating as the 2022 hurricane season approaches, as Demotech withdrew its Financial Stability Ratings citing a reduced capitalisation due to losses from Ida.