Despite accounting for only 9% of U.S. property insurance claims, Florida is the source of 79% of the country's home insurance lawsuits . This disparity was largely driven by "Assignment of Benefits" (AOB) abuse, where contractors and law firms would encourage homeowners to file suits to inflate repair costs.
The "deep story" of insurance in Florida is a complex saga of a market teetering on collapse, driven by a perfect storm of natural disasters, legal exploitation, and corporate maneuvers. Once a hallmark of the American dream, homeownership in the Sunshine State has become a high-stakes financial gamble. insurance florida
Deep-dive investigations have revealed troubling financial practices that go beyond simple "bad luck" with storms: Despite accounting for only 9% of U
Florida's insurance market is uniquely volatile, characterized by the highest premiums in the nation—averaging over , which is triple the national average. The "deep story" of insurance in Florida is
Large national insurers often create Florida-specific subsidiaries (colloquially called "pups"). These entities insulate the parent company's assets; if the Florida "pup" goes bankrupt, the parent company remains untouched.
Recent whistleblowers have alleged that some new insurers are diverting millions in customer premiums to investors rather than holding them for future claims, heightening insolvency risks. The "Insurer of Last Resort"