CONTACT: MICHELLE DeMARCO
SENATE DEMOCRATS CALL ON GOP GOVERNOR RICK SCOTT TO FORM INSURANCE INTERSTATE COMPACT
Democrats argue GOP-backed measures thus far have done nothing to stem skyrocketing rates
TALLAHASSEE – Citing the inability of Republican-backed measures to halt or turn back skyrocketing property insurance rates in Florida, Senate Democrats on Thursday sent a letter to Governor Rick Scott, calling on him to initiate a multi-state effort to quickly reverse the spiraling financial burden on Floridian property owners.
“Despite the legislature’s efforts and your calls for deregulation, the results have been akin to shifting deck chairs. Homeowners insurance rates have not declined; on the contrary, they are doubling, tripling and in some cases, quadrupling. In addition, as many homeowners in Florida know first-hand, some insurance companies have “cherry picked” their customers, refused to write policies, or have limited the scope of their coverage,” wrote Senate Democratic Leader Chris Smith (D-Ft. Lauderdale), along with Senators Jeff Clemens (D-Lake Worth), Jeremy Ring (D-Margate), Gwen Margolis (D-Miami), and Bill Montford (D-Tallahassee).
“This problem is not unique to Florida. Several states along the southeastern coast are experiencing similar troubles. We are convinced that nothing less than a comprehensive regional approach will aid us in mitigating dropped insurance coverage and significant increases in rates for wind and storm insurance.”
According to the lawmakers, similar interstate compacts have been successfully initiated over the years with southeastern, Atlantic and Gulf states. “Development of a regional compact with such states to spread the risk of damages from major disasters and pooling resources among regional states that choose to participate is a worthy approach to consider.
“We look forward to your active participation and engagement with fellow governors to make affordable property insurance…a reality.”