The realm of South Florida property management is undergoing significant scrutiny and adaptation.
South Florida Property Management Seeks New Insurance Solutions
Property managers of South Florida property management and homeowners alike are grappling with the skyrocketing insurance premiums, questioning the very foundation of the region’s insurance industry. Humberto Hernandez, an adjustor from National Claims Adjustor, underlined the strain on the property management sector, stating that the increasing rates are not solely due to claims litigation, but rather a symptom of the industry’s greed. South Florida property management companies are now feeling the pressure to offer guidance to homeowners on insurance alternatives. The suggestion is to shop around for new insurance companies, particularly if homeowners feel they’re paying exorbitant rates. “Try to negotiate a better or economic policy than the one they can sell you,” Hernandez advised. With many in the South Florida property management industry echoing his sentiments, the hunt for more competitive rates is on. Historically, the South Florida property management has seen interventions from the Florida legislature and governors, especially after significant natural disasters. They have occasionally passed laws that temporarily freeze the rise in policy premiums, giving relief to homeowners and South Florida property management firms alike. Yet, these measures are short-lived and are merely a band-aid solution to a deep-rooted issue.
Another controversial issue highlighted by Benjamin is that many insurance companies weren’t mandated to get reinsurance, a move aimed at making the state more enticing to other insurance carriers. This has led to further complications for South Florida property management professionals, especially when addressing homeowners’ concerns and negotiating policy rates. Hernandez provided a stark reminder for homeowners thinking of going without home insurance, a consideration that South Florida property management experts warn against. Those with a mortgage don’t have the luxury of going without coverage. “If we decide not to pay that policy, the bank imposes a policy upon our property that costs about five times the normal premium of our insurance policy,” he cautioned. For homeowners and South Florida property management companies alike, the journey post-Idalia promises to be a challenging one.