Florida's Property Insurance Crisis: Shareholder Payments Amidst Distress

The property insurance crisis in Florida reached a critical point in 2022, leading to emergency legislative sessions as insurers faced insolvency. Reports revealed that insurers were paying millions to shareholders and billions to affiliates during a time of financial distress. State lawmakers questioned insurance officials about the delayed disclosure of a concerning report that hinted at fundamental issues in the insurance market, which had seen policyholders facing steep rate increases. This situation sparked renewed discussions about legal reforms and regulations governing insurance companies, with implications for future legislative actions.