FLORIDA — For those who’re paying extra for automobile insurance coverage, you’re not alone. A examine by the net insurance coverage shopper, Insurify, exhibits Floridians pay the third highest auto insurance coverage charges within the nation — following New York and Nevada.
The Insurify examine exhibits the common value of full auto protection in Florida is $243 a month, which is 44% greater than the nationwide common. Insurance coverage specialists say Floridians can blame lawsuits and storm harm for the upper charges.
“Most carriers have an actuarial loss, which signifies that they’re dropping cash each single yr after they examine premiums to claims which are paid out,” mentioned James Cleveland, president of Insurance coverage Companies of Central Florida.
As a licensed fraud examiner, Adam Kemmerling is sweet at crunching numbers. He’s an accountant educated to seek out questionable financials.
“If anyone is aware of about numbers, it’s me. That’s what I do,” mentioned Kemmerling.
When Kemmerling lately looked for cheaper quotes for automobile insurance coverage for his household, he grew to become satisfied that one thing needed to be method off. The most cost effective quote was about $17,000 a yr to make sure his household of 4 drivers. That averages out to greater than $350 per individual, monthly.
“I imply, that’s 100 {dollars} lower than my mortgage,” he mentioned. “It simply amazes me, it simply completely amazes me. I’ve by no means seen insurance coverage that top,” mentioned Kemmerling. “However I assume we’re in a brand new time, sadly.”
Kemmerling says two of the insured drivers are youngsters.
“We all know they’re inexperienced, however come on? All people was 16 as soon as. Have a bit of little bit of sense,” he expressed. “Everyone knows who’s actually paying the insurance coverage. It’s the dad and mom.”
Kemmerling mentioned he and his spouse have glorious driving data.
“My spouse is just like the pope of driving. She doesn’t go over the pace restrict. She is not going to get in an accident. She’s going to by no means flip in entrance of any individual,” he defined.
The excessive insurance coverage charges have Kemmerling contemplating some robust selections. He needs to purchase out his automobile’s lease, so he received’t be required by the leasing firm to pay the best stage of protection. He’s additionally contemplating giving up driving altogether. He says he’s priced it out and it will really be cheaper for him to make use of rideshares to get from residence to his workplace in DeLand.
But it surely’s a call he’s combating.
“I’ll let any individual drive me round,” mentioned Kemmerling. “Individuals say to me ‘Wouldn’t that kill you to not drive?’ No, in no way. However the issue with that’s, I’d need to cancel my license with the State of Florida, which implies I can’t drive no extra. So why do I’ve to surrender my proper to drive to save lots of insurance coverage cash?”
If it comes all the way down to which invoice to pay, the selection for him is obvious.
“If I’ve to decide on, actually, between paying my lease and paying my insurance coverage, or paying my mortgage and paying my insurance coverage? I’m sorry the mortgage is getting paid — it’s not occurring — take me to jail,” mentioned Kemmerling. “Not less than there I’ve a roof over my head and insurance coverage isn’t placing a roof over my head. It’s unhappy that some persons are going to be confronted with that.”
Fortunately for now, Kemmerling pays each. However at $17,000 a yr, he says in some unspecified time in the future, one thing has to present.
“I feel there’s too many individuals getting their pockets fats, and it’s not proper, and it’s at the price of us,” mentioned Kemmerling. “And I do know folks say Florida doesn’t have state revenue tax, however yeah, we’re getting taxed in every single place else.”
Insurance coverage specialists say if you happen to’re seeking to scale back your automobile insurance coverage premiums, you’ll be able to think about decreasing your protection limits and elevating your deductible.
Final yr, Gov. Ron DeSantis signed into legislation a measure designed to cut back frivolous lawsuits beneath Florida’s no-fault insurance coverage system.
In the course of the present legislative session, Florida lawmakers have proposed two payments, SB 464 and HB 653, that might additional scale back insurance coverage fraud by eliminating the state’s requirement for drivers to hold $10,000 price of non-public harm safety.
As an alternative, drivers could be required to have a specific amount of bodily harm protection. One lawmaker estimates it may save automobile insurance coverage clients as a lot as $350 per yr.
