Although Bill 408 was executed, passed and placed into law several months ago, many people are just now beginning to see the real impact, including those who voted for it. With the recent news of Citizens receiving a 2,000% rate increase on sinkhole premiums, people outside of the sinkhole community are now starting to take note of the new Bill and it’s impact. Senator Fasano spoke recently at an event and indicated that Bill 408 was the most anti-consumer law he has seen in seventeen years in politics. He also indicated that at least two colleagues have come to him recently and expressed concern over the new rate hikes. Not only did they recognize that Citizens will be pricing sinkhole insurance out of the market place but they acknowledged that private carriers will soon be asking for the same rate increases and may get them too. If this happens, only a small amount of Florida citizens will be able to afford sinkhole coverage anymore and the insurance industry will get what it wanted, no more sinkhole claims!
The seemingly forgotten part of Bill 408 was that it opened the doors for insurance companies to receive the massive rate increases. Even though sinkholes are a concern for only a small portion of Florida’s population, as Senator Fasano stated, once you raise taxes or insurance rates everyone starts to pay attention. Well now not only are citizens paying attention but so are those senators and representatives that voted for Bill 408. Several of them have even privately expressed that this is not what they signed up for. Well it is as Senator Fasano puts it. He has announced plans to call a special session to repeal Bill 408 later this year. We again strongly encourage any homeowners who have suffered through the trials and tribulations of a sinkhole claim to call your local representative and tell them you want them to get on board with Senator Fasano and repeal Bill 408.