On December 6, 2022, House Speaker Paul Renner and Senate President Kathleen Passidomo issued a joint proclamation, officially convening the legislature into a special session December 12-16. During this five-day session, lawmakers are being tasked with reforming property insurance, providing hurricane property tax relief, and establishing a statewide toll credit program. The official proclamation, including the entirety of the issues to be taken up during the special session, can be found here.
This will be the second special session in 2022 to address property insurance. Lawmakers convened in Tallahassee May 23-27 to address Florida’s worsening property insurance market, which has been in crisis for the past several years; unfortunately, the market has only continued to worsen. Numerous carriers have voluntarily chosen to leave the state or not renew policies, while others have been forced to shut down. Sixteen property insurers have gone insolvent since the crisis began -- six of them since January alone.
Due to the massive decrease in availability, and increasing rates, of private insurance, the state-run Citizens Property Insurance Corporation, known as the “insurer of last resort,” has seen a dramatic increase in policies. Subsidized by taxpayers, Citizens was originally intended to serve only those homeowners who could not find coverage in the private market. More than one million policyholders are now insured through Citizens.
A major focus of reforms during the special session will be aimed at curbing fraud and frivolous lawsuits, which have caused skyrocketing rates for consumers. Florida accounts for just 9% of homeowner insurance claims in the nation, but 79% of homeowner insurance lawsuits, according to data from the Florida Office of Insurance Regulation.
Finally, in addition to property insurance, lawmakers will take up legislation providing tax relief and additional financial assistance for residents in Southwest and Central Florida affected by hurricanes Ian and Nicole, as well as creating a statewide toll credit program for residents who frequent toll roads in their daily commute.
Special Session A begins December 12.
