The Real Deal Miami

Property insurer bill takes heat from lawmakers

April 21, 2010 12:19PM

The Florida House is slated to vote on  a bill that would raise
premiums for home insurance, and yesterday lawmakers sponsoring the
bill took heat from their fellow members. The bill would raise rates
without regulatory oversight, at an average of ten percent and
potentially twenty percent. It would also let insurers withhold
portions of claims payments until the policyholders offered proof of
items purchased by showing receipts. Further, advertising and agent
commission costs would be built-in to premiums, and offset incorrect
discounts given to policyholders. Proponents of the bill like Rep.
Bryan Nelson say it would lower costs for insurers. Others, like Rep.
Julio Robaina, said a similar plan aimed at auto rates in the 1980s
dramatically raised rates. [Sun Sentinel]