>>JENNIFER WAUGH: SO THE GOVERNOR’S OFFICE SAYS THAT THE FLORIDA INSURANCE INDUSTRY
HAS SEEN 2 STRAIGHT YEARS OF
NET UNDERWRITING LOSSES
EXCEEDING 1 BILLION DOLLARS A
YEAR. AND AS A RESULT, SEVERAL
INSURANCE COMPANIES HERE IN
THE STATE HAVE GONE INSOLVENT
OR HAD TO CANCEL POLICIES IN
THE MIDDLE OF THEIR CONTRACTS
BECAUSE THEY JUST HAVE THE
MONEY TO COVER CLAIMS. SO THE
HOMEOWNERS INSURANCE CRISIS
HAS TRIGGERED. AS WE
MENTIONED, THE TOP OF THE
HOUR, A SPECIAL SESSION THAT
STARTS IN LESS THAN 2 HOURS IN
TALLAHASSEE AS LAWMAKERS MEET
TO TRY TO COME UP WITH A
SOLUTION. JOE CARLUCCI IS A
LOCAL INSURANCE AGENT AND
JOINS US NOW TO EXPLAIN WHAT
IS HAPPENING LOCALLY
SPECIFICALLY TO PROPERTY
OWNERS. GOOD MORNING. THANKS
FOR BEING WITH US. THANK YOU
FOR HAVING ME. SO HOW DID WE
GET HERE? I KNOW THAT WHEN YOU
AND I TALKED LAST WEEK, IN
FACT, YOU REACHED OUT TO ME
AND SAID, LOOK, THIS IS A
HUGE, HUGE PROBLEM. IT’S A
NICE US. YEAH, IT IS. IT’S A
IT’S A CRISIS WE GOT HERE.
>>VIC MICOLUCCI: I’M NOT JUST
BY ALL OF A SUDDEN IT’S BEEN A
3 FOR YOUR THING WITH. THERE’S
JUST BAD ACTORS OUT THERE
DOING ROOF CLAIMS. IT’S THE
LITIGATION THAT GOES ALONG
WITH IT. SO IT IS CALM,
POUNDING ALL OF THOSE 3 YEARS
WITH LITIGATION COSTS
ASSOCIATED WITH THE CLAIMS
FLORIDA HAS 79% OF THE
LITIGATION COST NATIONWIDE.
>>JENNIFER WAUGH: AND ALL OF
CLAIMS. AND THERE’S ONLY FOR
ONLY ABOUT 9% OF CLAIMS COME
FROM THE STATE GIVES YOU THE
PERSPECTIVE. YEAH. HOW MANY OF
THEM END UP WITH LITTLE
LITIGATION ATTORNEYS INVOLVED?
EXACTLY IT’S ALL THE MEN AND
71% OF THE MONEY GOES TO THE
ATTORNEYS AND ONLY 9 OR
SOMETHING PERCENT GOES TO THE
ACTUAL POLICY HOLDER FOR
FIXING THEIR ROOFS THEIR
HOUSES. SO IT’S INTERESTING
BECAUSE THAT’S ALSO WHAT IS
UNIQUE TO FLORIDA. IS THIS
KIND OF FEE MULTIPLIER, RIGHT,
WHICH IS NEGOTIATED INTO THIS
SPECIFICALLY IF LITIGATION IS
INVOLVED IN YESTERDAY’S ARE
INVOLVED. BUT TO THE DEFENSE
OF ATTORNEYS BECAUSE I’VE
HEARD FROM MANY OF THEM, YOU
KNOW, IF YOU RECEIVE A CALL
FROM THE HOME OWNER WHO SAYS,
LOOK, THIS SHOULD BE COVERED
BY MY INSURANCE. MY INSURANCE
CARRIERS NOT COVERING IT RAN.
THE ONLY OPTION I HAVE IS
DESOUSA THAT I CAN RECOUP THAT
COST AND MAKE THE REPAIRS. YOU
UNDERSTAND WHY THIS IS, YOU
KNOW, THERE’S 2 SIDES TO EVERY
STORY ON ABSOLUTELY. AND THE
STATE IS EVEN AWARE OF THAT. I
MEAN, THEY’RE TRACKING THE TOP
10.
>> YOU KNOW, ONES WHO ARE THE
BAD ACTORS THAT ARE NOT DOING
IT IN GOOD FAITH TO PROTECT
THE POLICYHOLDER. BUT WHEN YOU
HAVE ONE LAW FIRM THAT IS JUST
CREATED 2 YEARS AGO AND
THEY’RE HAVING, YOU KNOW, 50%
OF THE CLAIMS THAT ARE GOING
AGAINST INSURANCE COMPANIES.
THOSE ARE NOT THE ONES THAT
ARE REALLY KIND OF ON THE SIDE
OF THE POLICYHOLDER. SO SO THE
HOUSE AND THE BASICALLY
RELEASED OUTLINE BILLS LATE
FRIDAY ON ON WHAT THEY’RE
GOING TO ADDRESS STARTING THIS
MORNING.
>> I THINK ANOTHER IMPORTANT
POINT, PARTICULARLY TO FOR OUR
VIEWERS AHEAD OF HURRICANE
SEASON, WHICH STARTS NEXT
WEEK. BUT IS THERE? IT’S IT’S
THESE FRAUDULENT ROOF CLAIMS
SPECIFICALLY PEOPLE ARE WHO
ARE KNOCKING ON DOORS AND
SAYING, HEY, YOU’VE GOT A
PROBLEM WITH YOUR WITH YOUR
ROOF BECAUSE, YOU KNOW,
TROPICAL STORM PASSED THROUGH
THE AREA AND PLACE IT.
>> RIGHT. AND AND AGAIN, NOT
ALL ROOFERS ARE BAD, YOU KNOW,
TO ME. BUT THERE ARE ACTUALLY
SOME OF THESE ROOFING
COMPANIES ARE DAMAGING THE
ROOF BECAUSE IN FLORIDA, IF
OVER, 25% OF THE ROOF IS
DAMAGED, THEN THEY HAVE TO
REPLACE THE WHOLE THING SO
THEY CAN GO UP THERE AND
DIRECTLY. THIS IS JUST
ARTICLES THAT I READ DAMAGE A
LITTLE BIT MORE. AND NOW THEY
HAVE TO REPLACE THE WHOLE
ROOF. INSURANCE COMPANY HAS
REPLACE THE ENTIRE THING. NOT
JUST THE 25% THAT WAS DAMAGED,
WHICH IS SOMETHING ELSE THAT
THE LEGISLATURE IS THAT
THREATS AND SOMETHING THAT OUR
VIEWER NEEDS TO BE AWARE OF.
2?
>>JENNIFER WAUGH: BECAUSE, YOU
KNOW, EAT THEIR OLDER.
SOMETIMES THEY CAN’T GET UP ON
THE ROOF INSPECTED THEMSELVES.
SO, YOU KNOW, TO REALLY DO
YOUR RESEARCH WHEN IT COMES TO
IRON RIVER AND INTO THAT
POINT. SO THERE’S A COVERAGE
ON YOUR POLICY CALLED
ORDINANCE IN LAW COVERAGE AND
THAT’S WHAT IT’S FOR. IT
COVERS THE AND DAMAGED PORTION
OF THE ROOF TO BE REPLACED.
>>LAUREN VERNO: INSURANCE IS
ONLY SOME IS ONLY REQUIRED TO.
REPAIR THE DAMAGED PORTION,
BUT BECAUSE OF THE BUILDING
CODE IN THE ORDINANCE, YOU
HAVE TO REPLACE THE WHOLE
THING. SO ORDINANCE AND LOT
COVERAGE ABSOLUTELY SHOULD BE
ON YOUR SO THAT’S REALLY
IMPORTANT. YEAH, BECAUSE WE
ALL NEED TO START IT’S GREAT.
I’M SO FOR WHAT ARE YOU SEEING
LOCALLY? BECAUSE WHEN WE SPOKE
SPOKE LAST WEEK, YOU SAID SOME
ARE GOING UP BY 300%. YEAH,
IT’S IT’S REALLY, REALLY YOU
KNOW, WE WE STARTED SEEING
THIS 6 MONTHS 8 MONTHS AGO.
AND WHEN YOU START SEEN ONE OR
2 PREMIUMS GO FROM. YOU KNOW,
1000 TO 4,000, YOU’RE LIKE,
OK, MAYBE THAT’S A ONE OFF
THING OR MAYBE MAYBE THAT’S A
FLUKE. AND THEN WE SEE THEM
EVERY WEEK EVERY WEEK. JUST
ADD TO CUSTOMERS. THEY’RE
LIKE, WHY? WHY AM I BEING
PENALIZE BASICALLY FOR ALL
THESE OTHER THINGS THAT ARE
HAPPENING EITHER NOT EVEN IN
JACKSONVILLE, SO IT’S 300% IS
IS NOT A FLUKE. ONE OFF THING.
WE’RE SEEING THAT A LOT. SO
ARE YOU. DO YOU ENCOURAGE
THEM? HOMEOWNERS FACING THAT
TO SHOP IT YEAH, I KNOW THEY
ABSOLUTELY. I MEAN, THAT’S SO
THEY REACH OUT HAVE AND
THEY’RE PROBABLY YEAH, HIGHER
RATES ACROSS THE BOARD AND
IT’S SO BAD THE RIGHT NOW
BECAUSE WE WANT TO SHOP IT
AROUND. OF COURSE, WE WANT TO
SAVE THE MONEY, BUT BECAUSE OF
ENVIRONMENT, WE’RE IN, A LOT
OF COMPANIES AREN’T EVEN
WRITING POLICIES. SO THEY’RE
HAVING TO GO WITH CITIZENS,
WHICH IS REALLY A GOOD
SOLUTION. RIGHT NOW, CITIZENS
IS THE STATE-BACKED INSURANCE
SO THEY’RE VERY FINANCIALLY
STABLE AND THEIR RATES ARE
ACTUALLY A LOT LOWER THAN ALL
THESE PRIVATE CARRIERS RIGHT
NOW. SO THAT IS AN OPTION THAT
YOU’RE SUGGESTING TO CUSTOMERS
WHO ARE FACING AND THEN VERY,
VERY QUICKLY HERE BECAUSE
OTHER THE OTHER, YOU KNOW,
HOMEOWNERS ARE FINDING THAT
THEIR INSURANCE CARRIERS
REACHING OUT TO THEM AND
SAYING, HEY, YOUR ROOF IS ONLY
10 YEARS OLD, RIGHT? BUT
YOU’RE GOING TO HAVE TO
REPLACE IT ORDER. KEEP THIS
POLICY. I MEAN, ASPHALT
SHINGLES ARE SUPPOSED ELECTION
20 TO 30 YEARS. EXTREMELY
FRUSTRATING FOR THEM BECAUSE
THERE’S A COST THEIR
ASSOCIATED WITH HAVING TO
REPLACE THE ROOF. I KNOW IT’S
THAT THEY CAN’T CATCH A BREAK
ON IT BECAUSE IT’S
>> WHETHER THEY GET TO. 200%
INCREASE ITS LIKE WELL THAT OR
REPLACING A ROOF IS STILL
THOUSANDS OF DOLLARS. SO
CITIZENS HAS BEEN A SAFE HAVEN
FOR A LOT OF PEOPLE. WE’VE HAD
TO SEND PEOPLE TO CITIZENS,
EVEN THOUGH WE DON’T WE DON’T
GET THE SERVICE THAT WE HAVE
TO SEND IT OUT OF OUR OFFICE
SO WE LOSE CUSTOMERS. BUT WE
WANT TO MAKE SURE THEY’RE
TAKEN CARE OF AND AND NOT HAVE
TO PAY 10, $50,000 JUST FOR
NEW ROOF. THAT’S
>>JENNIFER WAUGH: FUNCTIONING
PERFECTLY. SO I KNOW THAT
WE’RE JUST SCRATCHING THE
SURFACE, RIGHT? THIS IS AN
HOUR AT LEAST LONG
CONVERSATION. BUT WE REALLY
WANTED TO EXPLAIN TO OUR
VIEWERS EXACTLY WHY IT’S
IMPORTANT. THIS SPECIAL
SESSION IS HAD. SO THANK YOU,
JOE, FOR BEING HERE THIS
MORNING. APPRECIATE IT. AND
WE, OF COURSE, WILL CONTINUE
TO FOLLOW THIS. WE’VE GOT MUCH
MORE WHEN IT COMES TO FLOOD
INSURANCE. JUST INFORMATION
ABOUT THAT. NOT IF NOT
ASSOCIATE WITH A SPECIAL
SECTION TODAY AS SESSION