A diverse coalition of stakeholders provides FAIR with valuable perspective on insurance policy issues. FAIR finds middle ground in these disparate viewpoints and advocates for balanced solutions with the Florida legislature. The coalition includes consumer groups and associations, residential and commercial property owners, home owners’ associations and condo groups, construction firms, domestic insurance companies, real estate professionals, independent agents, and trial attorneys. Some of FAIR’s accomplishments include:
- Drafted pending Cat Fund legislation that would make a significant impact on creating jobs and boosting the economy, lowering insurance rates, reducing costs post-catastrophe, and enhancing the depopulation of Citizens.
- Advocating strongly for wind mitigation policy and incentives that safeguard consumers in Florida’s disaster-prone cities.
- Supporting legislation to curb abusive Assignments of Benefits practices.
- Promoting legislation to expand the PACE statute to include flood mitigation and water conservation. The current Florida statute allows for wind mitigation property improvements and renewable and sustainable energy improvements.
- Promoting legislation to educate condo associations about the risks associated with surplus lines insurance policies, and advocating for Diligent Effort reform.
- Promoting legislation to achieve “condo parity” through a statutory increase in the Florida Insurance Guaranty Association (FIGA) limit from the current coverage limit of $100,000 per condo to $300,000—the same as for single family residences. A recent survey concluded that 62% of Florida condo associations would not have enough money to rebuild in the aftermath of disaster.
- Taking a leadership role in collaborative action to reform the Workers’ Compensation system in Florida.
- Led efforts to successfully defeat a bill that would have allowed unregulated surplus lines carriers to participate in Citizens depopulation program without standard consumer protections (2013).
- Passed legislation requiring Citizens to accept replacement value appraisals from third party sources to set Schedule A values (2013).
- Defeated several efforts to increase Citizens rates over the current glide path (2012-2016).
FAIR coordinates visits to legislators by diverse stakeholder groups to update them on topical insurance-related issues:
- 2014 FAIR Legislative Day: March 2014, Tallahassee
- 2015 FAIR Legislative Day: March 2015, Tallahassee
- 2017 FAIR Legislative Day (in conjunction with FIRM – FAIR Insurance Rates in Monroe): March 14, 2017, Tallahassee
- 2017 PACE Legislative Day (in conjunction with PACE providers): March 15, 2017, Tallahassee
FAIR’s educational projects target state insurance department leadership from Florida and many other states, consumer groups, insurance and reinsurance group executives, rating agencies, members of the legislature, stock analysts, contractors, property owners, policyholders and a diverse group of FAIR members.
FAIR holds annual state-wide conferences to discuss important reinsurance, ratings and agent issues.
- Consumer Protection: The Role of Catastrophic Reinsurance in a Wind Exposed Jurisdiction: April 2016, Tampa
- Insuring Uninsured Risk: Flood, Sea Level Rise, and Natural Catastrophes (in collaboration with the Institute of Strategic Policy Solutions, St. Petersburg College): May 2017, St. Petersburg
FAIR hosts and collaborates on state-wide workshops to discuss topical issues.
- Flood Mitigation Community Workshops (organized by Flood Risk Evaluator and supported by the Pinellas Realtors and Cities of Tarpon Springs and Treasure Island): July 2016, Tampa Bay area
- Climate Resilience: Wind and Flood Mitigation: July 2016, Davie
- Flood Insurance Exchange (with the Florida Realtors): 2014, Tampa
Fair Coverage Project
Over the years, the standard homeowner’s policy and what it covers has been weakened by exclusions and limits. FAIR is working to educate the legislature, carriers, and other stakeholders about the need to restore adequate coverages to protect policymakers.
- Successfully convinced Board to reject staff proposals for a $15K sub limit on water claims (2013).
- Successfully pressured OIR to accept Citizens HO8 policy at indicated rates and for limited risks (2013).
Created under the FAIR umbrella, the FAIR Foundation is a national non-profit organization that provides academic research, educational programs and resources on insurance and risk management issues.
PACE (Property Assessed Clean Energy)
The PACE program helps property owners finance wind mitigation and energy savings projects to improve their properties, save money on insurance and energy bills, and make their buildings more valuable and resistant to natural disasters like hurricanes. Critical outcomes include job creation, promoting economic development, and protecting the environment.
- FAIR has championed a collaboration by PACE providers within Florida to ensure program safeguards, such as consumer protections and contractor controls, are met.
- FAIR is leading a coalition of public and private stakeholders to advocate for the current PACE statute to be revised to include flood mitigation and water conservation.
Mitigation blueprint for condo associations
A wind mitigation project funded through a Residential Construction Mitigation Program (RCMP) grant from the Florida Division of Emergency Management will make a Clearwater senior condo community safer from severe weather, and help reduce property insurance premiums and energy costs.
- FAIR is developing a handbook on how to plan and execute similar wind mitigation projects for community associations in Florida, incorporating lessons learned from the Clearwater project.