Gov. Ron DeSantis signaled a dramatic turn in the property insurance crisis that’s been plaguing the state for the past six years.He’s offering a plan.He claims it will save homeowners money.He claims it will help stabilize the market, but insurance experts wonder if it truly can with so little information to go on thus far. The announcement came Tuesday.“We will continue to provide big tax relief. So this budget offers more than $1.1 billion in tax relief," DeSantis said.He went on to say that $421 million of that relief comes in the form of property insurance premium savings. DeSantis’ reforms include a one-year exemption on insurance taxes and fees amounting to $409 million.Another $22 million in flood insurance exemptions would become permanent, and the average homeowner savings is projected to be 6%. “The first questions I have are, what taxes, what assessments, and what fees?” said Orlando independent insurance agent Tom Cotton.He says the industry is encouraged but cautious about the governor’s plan because it’s still trying to figure out precisely what taxes and fees he wants to suspend to help save you money on your insurance premiums.“The budget is like giving the Legislature a grocery store. What they cook with it is up to them. The Legislature has to decide how they are going to work with this and how they are going to apply this, and so right now, it’s a big unknown," Cotton said. Following recent severe storms, lawmakers have increased reinsurance funding to help stabilize carriers and eliminated one-way attorney fees to protect insurance companies from frivolous lawsuits in the wake of storm damage.The expected result is that within the next two years, homeowners should stop seeing increases — or at least the high percentage increases — to which they have become accustomed. The nonprofit Insurance Information Institute is concerned any tax savings will simply fuel premium increases.“We just want to be realistic about it. Overall, you may be paying more next year than you're paying right now," the Insurance Information Institute’s Mark Friedlander said. The governor’s proposed budget also includes $109 million to boost funding in home mitigation programs to strengthen homes against big storms and the “My Safe Florida Home” program would become permanent. Of course, how lawmakers will treat the governor’s request won’t be clear until the session begins next month. Top headlines: Boy Scout leader accused of molesting 14-year-old girl in Volusia County Extremely rare leucistic alligator born at Gatorland is one of only 8 in the world Sheriff: Man arrested after homemade explosives found in Winter Park home
ORLANDO, Fla. — Gov. Ron DeSantis signaled a dramatic turn in the property insurance crisis that’s been plaguing the state for the past six years.
He’s offering a plan.
He claims it will save homeowners money.
He claims it will help stabilize the market, but insurance experts wonder if it truly can with so little information to go on thus far.
The announcement came Tuesday.
“We will continue to provide big tax relief. So this budget offers more than $1.1 billion in tax relief," DeSantis said.
He went on to say that $421 million of that relief comes in the form of property insurance premium savings.
DeSantis’ reforms include a one-year exemption on insurance taxes and fees amounting to $409 million.
Another $22 million in flood insurance exemptions would become permanent, and the average homeowner savings is projected to be 6%.
“The first questions I have are, what taxes, what assessments, and what fees?” said Orlando independent insurance agent Tom Cotton.
He says the industry is encouraged but cautious about the governor’s plan because it’s still trying to figure out precisely what taxes and fees he wants to suspend to help save you money on your insurance premiums.
“The budget is like giving the Legislature a grocery store. What they cook with it is up to them. The Legislature has to decide how they are going to work with this and how they are going to apply this, and so right now, it’s a big unknown," Cotton said.
Following recent severe storms, lawmakers have increased reinsurance funding to help stabilize carriers and eliminated one-way attorney fees to protect insurance companies from frivolous lawsuits in the wake of storm damage.
The expected result is that within the next two years, homeowners should stop seeing increases — or at least the high percentage increases — to which they have become accustomed.
The nonprofit Insurance Information Institute is concerned any tax savings will simply fuel premium increases.
“We just want to be realistic about it. Overall, you may be paying more next year than you're paying right now," the Insurance Information Institute’s Mark Friedlander said.
The governor’s proposed budget also includes $109 million to boost funding in home mitigation programs to strengthen homes against big storms and the “My Safe Florida Home” program would become permanent.
Of course, how lawmakers will treat the governor’s request won’t be clear until the session begins next month.
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