Florida's Insurance Crisis Deepens as AAA Insurance Drops Homeowners and State Farm Expands
AAA Insurance is set to issue non-renewals for a small percentage of homeowners in Florida due to high costs caused by inflation, excessive litigation, and the impact of the 2022 hurricane season. The state is experiencing a property insurance crisis as more companies exit, with rates more than triple the national average. AAA plans to assist those affected in finding alternate coverage and believes recent legislative changes aimed at curbing litigation could help, but it will take time. Florida legislators have addressed the issue, and Governor Ron DeSantis expects companies to deploy more capital to Florida after this hurricane season. U.S. Senator Rick Scott suggests cracking down on fraud, reducing the size of Citizens Insurance, and recruiting other companies to solve the crisis.