Floridians are no strangers to bad weather. Our location makes us a prime target for hurricanes, year in and year out. Damage from windstorms and other catastrophic events can lead to large numbers of insurance claims. Fortunately, the last several hurricane seasons have been rather quiet.
In fact, we haven’t seen a hurricane hit our state since Wilma in 2005. Over time, however, Florida still ranks at the top. Over the last three decades, catastrophe claims from our state exceed all other states. We account for more than 15 percent of all claims. The next closest states are Texas, with about 11 percent of claims, and Louisiana, with just over 9 percent.
When the next storm hits — and it’s a question of when, rather than if — the potential insurance claims could be sky-high. In fact, had some historical storms hit our peninsula today instead of decades ago, the claims would be staggering.
For example, Hurricane Andrew did about $16 billion worth of damage when it ravaged the Homestead area back in 1992. Based on current population and real estate figures, a similar hit would generate around $50 billion in claims today. And if the worst storm to hit Florida, back in 1926 — before storms were named — were to strike today, insured losses would likely be a staggering $125 billion.
However, it doesn’t take a dramatic, far-ranging storm to cause damage to an individual property. People who are having difficulty with their insurance claims might wish to speak with an attorney experienced in that area of the law.
Source: Property Casualty 360, “Another Reprieve from Florida Hurricanes, but No Reprieve from History,” Nov. 25, 2013Share