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Florida’s insurance market in disarray

27 January 2010

Florida’s insurance market is in a state of disarray. Uncertainties about the quality, price and availability of property insurance have left homeowners desperately seeking stability, and insurers are struggling to meet demands.

Read more: Florida insurance FHCF Towers Watson James Hole HB 447

Florida’s insurance market is in a state of disarray. Uncertainties about the quality, price and availability of property insurance have left homeowners desperately seeking stability, and insurers are struggling to meet demands.

Insurance providers and consumers want more certainty about the future of property insurance in Florida, along with a better, more efficient insurance market, says Towers Watson.

In its new report, Florida Property Insurance: The Window of Opportunity, the global professional services company examines policies that attempt to strike a balance among the general price, availability and quality of property insurance in Florida. At the moment, regulatory changes, disabling natural disasters and the uncertain impact of future catastrophic events means the Florida market has minimal flexibility in rates and limited competition.

“The healthiest way to address the market would be to allow for freer competition,” James Hole, a leader in Towers Watson's reinsurance brokerage business, told Reactions. “That...


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Poll

Catastrophe bond issuance was $4.3bn in 2011. How much new issuance will there be in 2012?

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0%
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$4bn-$5bn
22%
$5bn-$6bn
11%
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22%
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Quote

If last year was the year of the cat, then this year could be the year of the debt crisis.

Mike Van Slooten, head of international market analysis at Aon Benfield