I wanted to write some initial thoughts based on what we know at the moment. Obviously, this is a fluid situation and predictions can change between now and landfall. I am going to assume for this post that Milton is a strong 3 hitting near Tampa, going through Orlando as Continue Reading
Will FHCF Survive 2024 – Part II
Last week, I discussed why the FHCF is still in trouble going into this wind season (see here). Today, I am back to conclude the analysis with a dive inside the numbers to illustrate why the math doesn’t work. Simply put, the FHCF doesn’t charge insurers enough premium to cover Continue Reading
Will the Florida Hurricane Cat Fund Survive 2024?
Back with another edition of “what happens in Florida after the FHCF fails”! (Last year’s version here.) The good news is there were no losses last year, so the FHCF rebuilt some of the surplus lost in recent years. The bad news is they still don’t have enough money to Continue Reading
Will The FHCF Survive 2023?
Last year, I wrote after Hurricane Ian that the FHCF may collapse due to the size of the loss. While the Fund has not gone bust yet, it is perilously close. What follows is an update on the FHCF’s financial condition, its ability to handle further losses, and a projection Continue Reading
Florida Fails To Avert the Imminent Insurance Crisis
Florida held a special legislative session last week to try to save the homeowner’s insurance market. While they accomplished some positive long term improvements, unfortunately, they did little to address the looming capacity crisis. This means a lot of Floridians are going to find themselves either a) without insurance or Continue Reading
Can The Florida Insurance Debacle Be Solved?
Florida is holding another special legislative session this week to address the failed home insurance market. With FHCF wobbling, the future of many private insurers in the balance, and many residents being priced out of the market, the need for a solution has never been more pressing. Currently, nearly every Continue Reading
When Your Math Is The Real Disaster
Most of you probably don’t know I was a math major. For those who had the opportunity in the past to see my prolific earnings models, that probably won’t surprise you. My one true talent in life is that, from a very early age, I could do calculations in my Continue Reading
The End of the FHCF As We Know It?
Editor’s Note: Yes, I know it’s a Sunday. This is a special edition given the circumstances. It doesn’t seem people are aware of the threat to the FHCF’s solvency so I wanted to get this analysis out immediately. Editor’s Note 2: I had been having some trouble with the site Continue Reading
Hurricane Ian(sbnr)
Editor’s Note: There have been some problems with the site server the last few days. If you have trouble with the link, it usually comes back up in a minute or two. I actually had something else ready to publish today and it’s folly to publicly call where a hurricane Continue Reading
Ranking the Villains in the Florida Home Insurance Tragedy
It’s June 1st and you know what that means? It’s now officially hurricane season! You know what else it means? We are one day closer to the meltdown of the Florida home insurance market! Stresses are arguably the worst they have ever been. Carriers are dropping like flies and we Continue Reading