Florida Lawmakers End Session Without Major Insurance Reforms

Florida lawmakers entered the 2024 legislative session aiming to scrutinize insurance company profits and ensure claims were paid appropriately. Despite multiple hearings involving current and former insurance regulators and several pro-consumer proposals, the session concluded without significant legislation to reduce premiums or enhance regulatory oversight. Notably, $280 million was allocated to continue the My Safe Florida Home program targeting home hardening grants for low to moderate-income homeowners.

A key focus was the revelation of a state Office of Insurance Regulation study indicating insurers reported losses while affiliate companies posted substantial profits. The study, which had not been previously shared with legislators, raised new concerns about profit-shifting practices within the industry. However, due to questions about the study's completeness and underlying data, lawmakers opted not to sponsor additional spending or legislation to expand regulatory scrutiny this session.

House Insurance Committee Chair Rep. Brad Yeager acknowledged the need for further investigation and is considering hiring a forensic accountant to analyze the full dataset in the coming months. Industry insiders have highlighted executive compensation linked to profit-shifting, exemplified by a Tampa-based insurer CEO earning over $50 million in two years.

Political and procedural challenges reportedly hindered progress on insurance reform. Internal party disagreements and contentious debates over programs like Hope Florida diverted legislative attention. Senate Insurance Committee Chair Sen. Blaise Ingoglia attributed stalled legislation to efforts to reverse recent market-stabilizing reforms, particularly those curtailing insurance litigation.

Legislation proposing broader homeowner legal rights to recover attorney fees in insurance claims was defeated, facing opposition centered on potential rate increases. Florida Governor Ron DeSantis opposed such measures, citing cost concerns. Lawmakers have pledged to resume efforts next session, emphasizing ongoing commitment to improving transparency and accountability in Florida's insurance market.