Florida state legislators are marketing SB76 as the solution to Floria’s insurance problems. Jim Boyd is among them and claims lawyers are incentivized to sue insurance companies in property damage cases. Carriers will be forced to pay excessive fees if they lose the case. If this lawsuit abuse can be controlled, rates will stabilize.
However, a recent study shows rates will not decrease or stabilize with what is proposed in SB76. Read the study by clicking here.
The truth is an overwhelming number of catastrophic storms have impacted Florida since 2017. Insurance carriers did not manage these risks (or the costs of claims) effectively, which has led to a decline in their profits. Insurance companies routinely deny and delay valid claims to mitigate losses. This forces policyholders to use litigation and other third parties to get claims paid. Instead of tackling the real issues in Florida’s insurance market, the proposed legislation reduces coverage as a means to put more money in the pocket of insurance companies.
Related: Will HB305 & SB76 Lower Rates Or Are Insurance Companies Crying Wolf?
SB76 will strip policyholders of needed coverage, reduce consequences for carriers, and will likely not lead to rate reductions. These bills’ far-reaching implications are not a significant concern to state lawmakers – satisfying insurance companies is. That’s because insurance companies wrote these bills to benefit insurance companies.
Who’s Behind SB76?
Republican State Senator Jim Boyd introduced SB76 – one of the most significant bills that will negatively impact policyholders.
This bill will limit coverage, allow carriers to use a reimbursement schedule for roof damage, and limit policyholders from suing carriers. Nothing outlined in SB76 protects policyholders. When asked why these bills were introduced in a recent interview, Jim Boyd said, “homeowner’s insurance companies in Florida have lost more than a billion dollars, with a B.”
Jim Boyd would know a thing or two about these losses because he’s the CEO of Boyd Insurance. His company offers homeowners insurance and other policies to Florida residents.
SB76 Benefits Insurance Companies, Not Policyholders
Every year, new legislation promises to lower insurance rates and make coverage more affordable. Rates are still increasing. Despite the promises made by Jim Boyd and other members of the Florida legislature, these new bills will likely not reduce premiums either.
What SB76 will do is limit coverage, reduce penalties when carriers break the law and force policyholders to pay out of pocket for repairs.
Passing SB76 and the companion bills would be similar to handing insurance carriers in Floria a winning lottery ticket. With reduced coverage and increased premiums, insurance carriers will make millions off the backs of policyholders.
Related: How much will policyholders pay with the proposed roof reimbursement schedule?
Tell Jim Boyd & Other FL Lawmakers To VOTE NO
SB76 and other related bills could go into effect this year. Lawmakers need to hear from policyholders NOW on the negative impacts of this legislation. Click here to connect with Florida lawmakers and make sure your rights are protected. You’ll be able to send a tailored message in less than 60 seconds to your elected officials
