We were lucky in the Tampa Bay area. In the eye of the storm, Florida residents suffered from devastating floods and winds. At least 109 people have died, 55 of them in Lee County, Florida, alone. A friend of mine has a family in Punta Gorda in Charlotte County. They were unable to reach their families by phone for several days because of the power grid outage. As of Tuesday night, 400,573 people in Florida were still without power. Therefore, while the storm did not head in the original reported direction, significant damage was done.
Mark Friedlander, a spokesperson for the Insurance Information Institute (III) said: Those who live in the Sunshine State are paying three times the national average at $4,231. In July, the Florida Bureau of Insurance Regulatory deemed 27 different insurers to be financially unstable. There is now a risk that more insurance companies will fail.
Florida insurance agencies are in a panic. Six insurance companies have already declared bankruptcy this year even though the past few hurricane seasons have been very weak. Property insurance is up as much as 50% in the past year alone for some homeowners and is likely to continue to rise. Insurance, no matter what insurance we’re discussing, whether it’s medical or medical insurance, only covers certain areas.
“A lot of people have a homeowner policy. And sometimes they’re told that this might also be for flooding and these are just different policies. Homeowners from wind, direct storm damage; flood insurance is obviously from rising water. Only,” Governor DeSantis explained. 13% of Florida residents have flood insurance, and those not covered will have to rely on FEMA grants, which take a long time to process.
To help displaced Florida residents, Biden is sending more money to Ukraine. With the leftovers, Washington will pay for rescue efforts, removal of debris, and rebuilding public infrastructure. People can submit claims to insurance companies, but they will almost certainly refuse to do so as much as possible, especially since many of them do not have the funding to process all the claims. Lawyers point the finger at insurance companies while insurance companies blame litigation and greed. Lisa Miller, former deputy insurance commissioner for the state of Florida, explained that 80% of the nation’s lawsuits are in Florida. DeSantis also pledged to “eliminate fraud and litigation.”
There is a price to pay to live in heaven. The overall cost of the storm is still being assessed, and it will take a long time to repair hard-hit areas. Insurers in Florida were already facing difficulties before the hurricane and this accident could be the catalyst for many failures.