Governor’s Proclamation Outlines Scope of Session
Governor Ron DeSantis’ proclamation declaring a special session on property insurance identifies its scope and provides insight into the upcoming debate. The proclamation specifies the special session will consider (a) property insurance, (b) reinsurance, (c) changes to the Florida Building Code to improve the affordability of property insurance, (d) the Office of Insurance Regulation, (e) civil remedies, and (f) appropriations.
As predicates for calling the special session, Governor DeSantis states “Florida’s general tort environment related to property insurance has led to thousands of frivolous lawsuits.” The proclamation goes on to recite a troubling statistic that has gained significant attention in recent months– Florida accounts for 9% of the countrywide property insurance claims but 79% of the nation’s property insurance litigation. The proclamation also refers to the rapid and concerning growth in Citizens Property Insurance Corporation.
The special session is scheduled for May 23-27. Although no definitive proposals have yet surfaced, the Governor’s proclamation clearly points to Florida’s disproportionate litigation environment as a root cause of many of the market’s problems.