Florida Homeowners’ Market Still Fragile

Editor’s Note: This is the first of a planned series of monthly columns by Lynne McChristian , the Florida representative for the Insurance Information Institute. For more than 40 years, the mission of the Insurance Information Institute has been to improve public understanding of insurance — what it does and how it works. The Institute does not lobby. Its central function is to provide accurate and timely information about insurance subjects. In keeping with her organization’s mission, McChristian will discuss current industry issues, topics, rumors, and public misconceptions (“They Say, Hearsay”), and offer responses and tactics to address them (“We Say”).

Despite recent attempts to stabilize its financial health, questions remain about the state’s backup insurance fund’s ability to pay off claims in the event of a major storm in the coming months. While the financial outlook for the Florida Hurricane Catastrophe Fund (Cat Fund) has improved since last fall, its advisory council has concluded that it still cannot meet all of its obligations.