Florida Home Insurance Shortfall not a Priority When Even Auto Makers are Begging

leaders of what used to be “best in class” companies begged for billions of dollars with their tin cups outstretched in front of the US Congress. Before the Big Three ever arrived in Washington, billions had already been committed to AIG and some of the largest financial institutions in the country.

During this financial meltdown we’re seeing something we never expected to see in our lives – broken promises from major corporations and government institutions on an unprecedented scale. The day has arrived when large companies and large states like Florida can’t raise the cash they need to meet their promises.

If you are a Florida home insurance consumer the financial crisis has put your biggest asset at risk – your Florida home.

Can you name a more sacred promise than the one a home insurance company makes to you when it takes your money and agrees to insure your home?

When you buy homeowners insurance in Florida the insurance company is promising you fast and fair payment of your claim. Florida insurance companies buy reinsurance to help them make good on this promise to you. Reinsurance is backup coverage that insurance companies buy to help protect themselves from big losses above certain levels.

The Florida Hurricane Catastrophe Fund was formed as a way to help stabilize the Florida home insurance market after Hurricane Andrew caused billions in damage to Florida in 1992. By offering reinsurance at affordable