A common theme surrounding the Florida insurance market is that insureds have not necessarily heard of the companies writing homeowner's insurance. Why is that? Where are the national giants we see on every other commercial and why can I not get a quote for homeowner's through them?
To answer this question in full, we would need a lot more time and a lot more patience. The quick down and dirty - many of the household insurance company names you are familiar with, who more than likely write your auto insurance have chosen to not participate in the Florida property insurance market. The bottom line is that there is too much risk and too much regulation for their liking. What we do have is a number of insurance carriers that are willing to accept the risk and have done a good job overall of providing an affordable product allowing us all to own homes, and live in paradise.
Often times these Florida insurers get a bad reputation for not having the financial rating that Weiss Ratings may deem stable. A recent article in the Miami Herald attempted to educate Floridians on the financial stability of Florida insurers in its article on June 18th, where it listed the top and bottom 10 according to its criteria. What the article does not explain is that Weiss Ratings are not recognized by Fannie Mae, Freddie Mac or the U.S. Department of Housing and Urban Development. I was pleased to see William Stander, Executive Director of the Florida Property & Casualty Association respond in an editorial today to set the record straight. Mr. Stander is exactly right in that Weiss fails to consider the extreme levels of reinsurance purchased by Florida insurers and their ability to pass the annual catastrophe stress test.
The bottom line is that the Florida insurance market is strong and it is healthy. Galt Insurance Group is a proud representative of so many of these carriers and we are all eager to get the opportunity to share our passion and answer any questions you might have.