Rep. Charlie Crist introduces new proposal to help lower property insurance costs

Reporter: Lauren Leslie Writer: Matthew Seaver
Published: Updated:
(Credit: WINK News)

There is a new effort to get homeowners insurance costs down. Democratic Representative Charlie Crist is proposing a new bill called the FAITH Act, or the Fueling Affordable Insurance for Homeowners Act.

“The reason for it is the horrible property insurance situation Floridians are dealing with right now,” said Crist.

We’ve seen it here in Southwest Florida, increasing premiums, letters of non-renewal, and providers dumping out altogether.

Crist says something has got to give. “The disruption is that you require less reinsurance for insurance companies to provide homeowners insurance to Floridians and when you do that, you reduce their costs immediately.”

Reinsurance is what insurance companies buy to protect themselves, but would Crist’s proposal mean the savings get passed on to you? You can read Crist’s announcement for the FAITH Act on his website by clicking here.

Some are skeptical that the FAITH Act will be able to deliver savings to Floridians.

“I guess I would have to look, do some research and see if it’s ever happened. Has it ever happened, do you know? That they’ve passed their savings on to us,” asked Jude Knisely.

Crist says it would serve as a federal backstop for catastrophic losses, with the federal government offering low-cost loans to cover huge hurricane losses.

“How do you do it? You make a law in congress is literally what we’re talking about here because nothing is happening in Tallahassee,” said Crist.

“I’m not sure anymore with what’s going on in this country with the politics and all of that how much we can trust anybody that has lots of money,” said Knisely.

WINK News reached out to Congressman Byron Donalds on the issue, but he has not gotten back to us.

Here in Florida, lawmakers are set to convene in just a few weeks for a special session, on the agenda is the property insurance crisis.

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