Points of Main Effort 

• Property Insurance.--  Although recent legislation and regulatory action have relieved the immediate pressure on rate increases to property owners, Florida remains vulnerable to catastrophic financial loss in the event of major storm damage.  The Insurance Consumer Advocate’s office is exploring innovative measures to create a responsible structure of insurance, reinsurance and Catastrophe Fund coverage that can pay claims in a timely manner without subjecting Florida policyholders and taxpayers to inordinate assessments to cover loss.
• Commercial Property Insurance.--  The Insurance Consumer Advocate is working with the business community, public and private nonresidential property owners, insurers and other stakeholders to maintain a robust insurance market to support the many commercial transactions that keep Florida’s economy strong.  From schools to grocery stores, from the tourism industry to the investment community, from job opportunity to real estate transactions, every aspect of Florida’s economy is touched by the availability of affordable commercial property insurance.
• Health Care.--  At the local, state and national levels, in both the public and the private sector, the issue of affordable health care is a growing concern as employers find themselves, along with their employees, paying higher premiums, co-pays and deductibles while experiencing significant benefit erosion.  The Insurance Consumer Advocate is reviewing experience of other states and other nations in an effort to identify those measures that have made a positive difference as well as those that have presented unintended undesirable consequences.  Expert testimony is being collected from all over the country in an effort to provide leadership in establishing a health care system, including appropriate insurance products, that addresses the needs of Florida’s diverse population.

Areas of Current and Future Concern 

• Workers Compensation.--  The Insurance Consumer Advocate has received indications from workers advocacy groups that implementation of the current workers compensation law is making access to medical care more difficult for injured workers and, further, that certain employment providers are operating without sufficient employee coverage.  Data is being gathered to determine the extent of the difficulties in order to pursue resolutions.

• PIP (Personal Injury Protection) Insurance.--  This mandatory personal injury automobile product is scheduled to sunset unless the Legislature re-enacts the law prior to October 2007.  While fraud and abuse have put the efficacy of PIP insurance into question, there are concerns that its expiration will have a negative effect on people injured in automobile crashes and, especially, on health care facilities that treat the injured parties who are otherwise uninsured.  The Insurance Consumer Advocate is monitoring developments regarding PIP and supports legislative action that will protect injured parties and those responsible for their treatment.

Projects

• Report Card for Residential Property Insurers.--  The Florida Legislature has enacted legislation (HB 1-A, 2007 Special Session, as amended by HB 2498, 2007 Regular Session) requiring the Insurance Consumer Advocate to prepare an annual report card for each authorized personal residential property insurer based on the number and nature of consumer complaints, the average length of time involved in payment of claims and other factors that will assist consumers in making informed choices in selecting homeowners insurance.  The Insurance Consumer Advocate’s office is in the process of collecting data reflecting service experience of the insurers, holding workshops through the Office of Insurance Regulation (OIR) and preparing the letter-grade report card that will provide guidance to residential property owners.  The report card will be published annually.
   
• Task Force on Citizens Property Insurance Claims Handling and Resolution.--  The Florida Legislature has adopted legislation (HB 1-A, 2007 Special Session) requiring the Department of Financial Service to administer a Task Force to examine Citizens Insurance Corporation compares service standards to assure that they are no less than those applied to insurers in the voluntary market with respect to responsiveness, timeliness, customer courtesy and overall dealings with policyholders and applicants.  By July 1, 2007, the task force shall provide a report containing recommendations regarding the process Citizens Property Insurance Corporation should use to dispose of claims remaining open from the 2004 and 2005 hurricane seasons.  Public hearings are under way in preparation for an initial report on July 1, 2007.  The Task Force must submit a follow-up report by July 1, 2008, and will expire at the end of the 2006-2008 legislative biennium.