Insured losses from Hurricane Ian are staggering
We have written here before about the dreadful state of the property insurance market in
These damages and losses were caused by wind as well as storm surge and flooding. Many of the horrific scenes we've seen in photos, destroyed stretches of waterfront and even central
This is the catastrophe no insurer wanted to face. A number of companies have already left the state or been declared insolvent already, and it's impossible to know at this point how the remaining companies will fare. Floridians are currently paying more than twice the national average for property insurance, and every policyholder in the state will be affected.
Confounding factors have made things worse. It's easy to point at attorneys and fraud and rampant litigation - the state insurance office says Floridians accounted for about 9 percent of all homeowner insurance claims but more than 80 percent of the lawsuits.
But now the effects of climate change and sea rise, which can intensify storms and cause greater rain and flooding, must be calculated into the risk equation.
It's no longer just a legislative issue. The state Legislature has been unwilling or unable to fully tackle property insurance issues. The problem is years in the making, beginning in 1992 with Hurricane Andrew's powerful blow to the market.
We don't have answers, but they exist. It's critically important - right now - for the state's leaders to exercise their power to convene experts and focus on this problem. These expert stakeholders should come from all concerned areas - insurers, adjustors, attorneys, citizens, building professionals, infrastructure specialists, representatives from all levels of government, planning and development professionals, climate scientists, business-people, and more.
Working collaboratively, they can fashion solutions to alter our state's trajectory for the better. Continuing to ignore the issues or just coming up with flimsy, stopgap measures is a recipe for disaster. Doing nothing will see the hollowing-out of the middle class, the deepening of our housing woes, and the derailing of our state's economic growth.
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