A number of consumer protection advocates in Florida are urging Governor Charlie Crist to veto Senate Bill 2044.  This property insurance measure was rushed through the legislature last month.  While the bill does require that smaller insurance companies be better financed to pay claims after major storms, there are numerous provisions which reduce protection and coverage to consumers   Particularly, the bill will raise homeowners insurance rates as much as 10% annually and eliminate any requirement that the insurance company officers and actuaries certify the  “truthfulness” of  their rate filing documentation.  Additionally, the bill reduces the premium discounts to consumers who have weather-proofed their homes and businesses by installing storm shutters and durable garage doors.  Also, the bill decreases replacement cost coverage, even though homeowners pay an extra premium for such coverage.   Further, Senate Bill 2044 contains provisions which would shorten the statute of limitations for property claims from 5 years to 3 years.  This would mean that if a homeowner suffers serious damage in a hurricane, and 3 years later finds hidden or latent damage, the insurer would be allowed to withhold coverage for that damage and the homeowner would be barred from reopening a claim.

TWW encourages you to research Senate bill 2044 and how it may affect your insurance premiums and coverage in the upcoming hurricane season.  You can also email the governor at Charlie.Crist@MyFlorida.com and urge him to VETO CS/CS/ SB 2044.