Blog: Florida Chief Financial Officer Atwater pressed to take stand on bills to raise insurance rates
Apr 20, 2011
The following article was posted to the South Florida Sun Sentinel’s House Keys blog on April 20, 2011:
Atwater pressed to take stand on bills to raise insurance rates
By Julie Patel
Chief Financial Officer Jeff Atwater said on Tuesday that he opposes huge property insurance rate hikes but his position on several measures allowing rate hikes is unclear.
Atwater played key roles in laws in 2007 and 2008 aimed to lower and freeze property insurance premiums and hold insurers accountable. That record helped get him elected as the state’s CFO, overseeing the Office of the Insurance Consumer Advocate and the divisions of Consumer Services, Insurance Agent and Agency Services and Insurance Fraud.
But what is his take on measures to undo parts of those laws?
“Where is the old Jeff Atwater?” Sean Shaw, an attorney in Tampa, wrote on behalf of a group he has organized, Policyholders of Florida, to oppose broad property insurance legislation this year. The group includes several consumer advocacy organizations, and attorneys and public adjusters who represent policyholders in claims disputes with insurers. “Atwater’s silence on the sweeping insurance legislation currently making its way through the legislature is deafening.”
Atwater provided this position statement through his press secretary Tuesday: “We understand that the Legislature is working to ensure that private insurance companies doing business in our state have the financial strength to quickly and fully pay all claims following a catastrophic event. They must, however, balance that goal with policies that protect Floridians from unjustified and excessive rate increases – Floridians are already stretched thin.”
Atwater did not say is he supports or opposes specific property insurance bills we asked him about, but his statement indicates he might oppose measures – such as HB 1243 and SB 1714 and HB 885 and SB 1330 – that would allow hefty rate hikes for Citizens and private insurers. His position is on a broad property insurance measure, HB 803 and SB 408, is less clear. The measure has provisions “expediting” certain costs insurers want to pass through to consumers without full review from regulators but the bills are primarily focused on creating new restrictions for policyholders filing claims.
Lawmakers and insurers who are pushing the legislation say it aims to reduce insurers’ claims costs, which they say are driving up premiums
Atwater has been vocal about his support for insurer-backed legislation this year aimed to fight fraudulent and inflated automobile insurance claims. The legislation includes parts that are support by consumer advocates.