Florida Legislature Enters Final Week, Major Insurance Issues Unresolved

As the 2006 Florida legislative session enters its final week, lawmakers continue to work on major reforms to the property insurance marketplace and the no-fault automobile insurance system.

“This is crunch time for the Legislature,” Jeffrey Brewer, state director of public affairs for the Property Casualty Insurers Association of America explained. “Several amendments to the House version of reform (HB 7225) were approved April 27th. The bill now awaits final approval by the full House. We support this legislative effort to improve the state’s homeowners insurance marketplace. Current conditions within the property insurance market make it very important for lawmakers to implement reforms that will address the regulatory environment, strengthen the marketplace and encourage competition.”

The Senate’s version of property insurance reform (SB 1980) is also being debated on the Senate floor. This bill is awaiting its second reading.

Lawmakers are also going down to the wire on no-fault insurance reform. The no-fault law stands repealed unless re-enacted by the Legislature this session. House Bill 7263 is on its second reading on the House Floor.

“This is the most far reaching no-fault reform legislation in many years and it will make significant improvements to the automobile insurance marketplace,” Brewer said. “Over the years escalating medical and legal costs have forced insurance premiums to be higher than they should be and the no-fault system has reached its breaking point. However, this is an opportunity to put the system back on the road to achieving its original purpose.”

The Florida session ends May 5th.

Source: Property Casualty Insurers Association of America.